Ensayo Corruption In Global Economies

Corruption in Global Economies

This Corruption, according to Rose-Ackerman is a “symptom that something has gone wrong in the management of the state” (Rose-Ackerman, 1999, pg. 9) Corruption rains from top government officials to civil servants and citizens. It causes high level of poverty, as wealth is not equally distributed amongst the people of the nation. Corruption due to exploitation ofa country’s natural resources or human labor causes limits on investment and others to suffer as a result of poor circulation of public wealth, and these unethical practices leads to a hurting economy. “The number and variety of countries suffering corruptions scandals in recent years underscore the fact that corruption differs widely in its forms, pervasiveness and consequences”. (Elliott, 1996,Pg.1) Corruption in third world countries reduces economic growth, slows down economic development, and there may also be less severity in developed countries as many may not feel the glitch of corrupt officials or any effect as to whether it is actually occurring. It also benefits the few at the expense of the many; it delays and distorts economic development, preempts basic rights and dueprocess, and diverts services, international aid and the whole economic. (Johnston, 2005, pg. 1)

Corruption on the other hand is a complex issue that existed long ago and one that cannot be resolved easily especially in third world countries where it is used as a means of survival for so many. Most often public official’s benefits from corruption and as such private entity are willing to pay theexcess cost to get faster and efficient services. However the public official receiving the benefit sees it as a gift, while the giver considers it a bribe, all in all it is corruption, due to the fact that the money was channel improperly for the benefit of one source, the receiver or others involved in the deal. “Officials will seek to minimize such pressures by permitting entry only to a smallclique of trusted friends and relatives who need not be the most efficient producers.”(Alam, 1990, pg.90)

These officials use this as a medium or means of opportunity through which they can exploit more resources from people. Liberia for an example had one distributor of the nation’s stable food (rice), he had the power given to him by former president Charles Taylor, to determine the price ofrice, when and how many tons to be imported, this caused a great deal of scarcity, and price hike, as so many families could not afford the excessive cost. It also created a down turn in the country’s economy. This paper focuses on corruption in global economy, due to the exploitation of natural resources and human labor and what can be done to end the ethical practices. I would argue that corruptionis real ,it exist in every sector of our society, it affects everyone in some way and there is a slender chance that this unethical practice would ever go away, especially in undeveloped countries.

Corruption is not automatic; neither does it occur overnight, it is the day to day life of real people and groups as they trade influence within a particular climate of opportunities, resources andconstraints. Corruption has distributive consequences. (Elliot, 1997, pg.44) Much of the countries resources or wealth is distributed amongst corrupt individuals or insiders leading to inequalities of the nation’s wealth. There’s a special challenge faced by countries with so much resources, Nigeria for an example, the country’s oil wealth is irreversibly lost through corruption. Nigeria with itswealth is still ranked as one of the world’s poorest country.

Another means of corruption, is channel as a means of bribe through which government officials collect bribes for providing permits, passports, and allowing others to participate in free trade through excess charges of custom duties. “In most cases the goods that the government officials sell are not demanded for their own sake,...