Compliance costs, small firms and development
Although regulations may be a necessary part of collecting revenue, or ensuring health and safety at work, the staff time and paperwork entailed in complying with regulations are becoming more and more burdensome, especially for small businesses in developing countries. This articlestarts by outlining the various costs of regulation for society as a whole and for individual enterprises, then describes studies estimating compliance costs in various countries, as well as a detailed study from South Africa, which revealed that 6.5 per cent of GDP was spent on compliance
costs. Finally, the prospects for reducing compliance costs are discussed.
starts by outlining the various costs of regulation for society as a whole and for individual enterprises, then describes studies estimating compliance costs in various countries, as well as a detailed study from South Africa, which revealed that 6.5 per cent of GDP was spent on compliance
costs. Finally, the prospects for reducing compliance costs are discussed.
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