The Informal Sector Can Be a Significant Drag on the Economies

Multiple Choice

The informal sector can be a significant drag on the economies of developing countries because the firms in the informal sector

A) produce goods and services no one wants.
B) sell their goods and services to citizens in other countries.
C) do not pay taxes to the government.
D) employ illegal immigrants from other countries.
E) are better able to produce goods and services in high demand.