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The rise and perpetuation of the black economy in India can be traced to multiple structural, institutional, and policy-related factors. The black economy, which comprises economic activities not reported to the government or not taxed, has grown significantly in India since independence and continues to pose serious challenges to transparency, equity, and economic planning. One of the primary causes was the restrictive and complex regulatory framework introduced during the post-independence era, particularly under the License-Permit-Quota Raj. Excessive bureaucratic control over production, imports, and investment created _____ __________ ________ _________ __________ ________ __________ ______ ___ _______ _____ ________.
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