For all the GEM nations, the prevalence rate of informal investors is positively correlated with social security taxes and with taxes on capital and property.

Question

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The prevalence rate of informal investors in GEM (Global Entrepreneurship Monitor) nations is generally negatively correlated with social security taxes and taxes on capital and property. Higher taxes can discourage informal investments by reducing disposable income and the attractiveness of investment returns.

For All the GEM Nations, the Prevalence Rate of Informal