What this means is that there will be nowhere for anyone to hide from tax collectors. All profits and wages will be subject to taxation and there will be no working under the table or gig economy meaning the informal sector. All government budgets will be dependent on income tax recoverable from the economy. As governments rely on taxes for revenue, there will be a stiff competition for tax paying workers by national governments. The higher the number of workers you have in your economy, the higher your budget and the more relevant you are to the world. No nation will want to lose tax paying workers to another since all governments will be dependent on taxes when the global economy is formalized leaving nowhere for anybody to hide. In a short while, after formalizing the global economy, china followed by India will be the largest economies on the globe. The USA will be the third largest economy.