Economies suffering from a high rate of corruption are mostly underdeveloped countries. Due to weak authorities and misuse of power, there is a huge problem of uneven development both politically and economically. Mostly, the tool of corruption is the misuse of power either in the form of money or authority to achieve personal goals.
REASONS BEHIND ECONOMIC CORRUPTION
In this way, people having power and authority consume all the resources and economy becomes incapable of providing prosperity to all. Additionally, a great drawback of the corrupt economy is that these economies do not let the natural law to function by misusing the scarce natural resources. Eventually, the sufferings are faced by the whole society. According to the World Bank, countries which are underdeveloped mostly suffer the consequences of corruption.
The rising monopolies are the reasons why corruption is increasing day by day. These great corporations bribe government officials in order to manipulate them by filling their pockets with money. Resources are not equally allocated which creates inequality in the society and fuels the social evils. Due to weak institutions, corrupt officials cannot be identified to deal according to lawful means. This encourages more corruption in institutional settings and consequences get worse for the future generations as well. Additionally, the more people follow the idea of personal benefit, the more the corruption will rise.