T2 EVALUATION OF DIVERSE POLITICAL AND LEGAL SYSTEM Outline The Forms Of Corruption.

Explain How A Corrupt Political System Affects The Well Being Of A Country.

PREPARED FOR : DR NOORAINI PREPARED BY: ROSELINDAWATI ZAINAL ABIDIN 2010169575

CORRUPTION

Nye (1967) defined corruption as a behavior which deviates from the formal duties of a public role because of private regarding (personal, close family, private clique) pecuniary or status gains; or violates rules against the exercise of certain types of private-regarding influence.

Vadera (2008) defined corruption as the crime that is committed by the use of authority within organizations for personal gain.
Luminita .I (2012) has described corruption as a subset of injustice, is about formal justice involves the violation of formal justice for private gain and produces substantive injustice and occurs when the rule or law is not regularly and fairly administered, requiring actions of the individuals.

Corruption can be classified as :

Grand

Petty

CORRUPTION

Political

Corruption Perception Index 2012

The perceived level of public sector corruption in176 countries around the world.

Corruption Perception Index 2012 cont

Political Corruption

Hodees (2004) political corruption involves a wide range of crimes and illegitimate acts committed by political leaders before, during and after leaving office. It is distinct from petty or bureaucratic corruption in so far as it is perpetrated by political leaders or elected officials who have been vested with public authority and who bear the responsibility of representing the public interest. The use of public office, public resources or some public obligation for the purposes of private gain (Tanzi, 1994; Rose-Ackerman, 1978; Szeftel, 2000).

Forms of Corruption
Bribery
Taking money to give people preferential treatment

Fraud
Making false claims for benefits.

Embezzlement
Stealing money or resources that are supposed to be under your control.

Extortion
When a public official forces someone to give them benefits in exchange

Cronyism
Practice of favoring one's close friends, especially in political appointments.

Forms of Corruption cont

Nepotism
Giving jobs or services unfairly to family members

Kickback
official's share of misappropriated funds that belong to his or her organization.

Graft
an official acquires financial gain by dishonest or unfair means, especially through the abuse of one's position or political influence.

Patronage
political supporters are rewarded for their support, such as by being appointed to public office or receiving contracts, subsidies or other benefits

How a corrupt political system affects the well being of a country?

It leads to the misallocation of a countrys economic resources. - economic policy that has been motivated by the self interest of policy maker created a culture of mismanagement thus resulting in misallocation of resources.

Reduce the investment and slow the process of economic growth and development. -makes it difficult for entrepreneurs to invest by increasing the cost of starting a business venture.

How a corrupt political system affects the well being of a country?

How a corrupt political system affects the well being of a country?

It decreases the spending on infrastructure of public development projects such as healthcare and education of the country. -Mauro (2002) pointed out that nations with higher levels of political corruption spend less on education, and possibly on health. The corrupt political system will affect the financial market and discourage foreign investment. -corrupted countries will receive less investment from foreign investors. Political corruption weakens the states and increase income inequality that may lead to poverty. -Dincer and Gunalp (2008) revealed that there is a positive and linear relationship between corruption and income inequality.

Conclusion

Political corruption is just like a cancer to our society as it infects the whole systems and destructs the well being of a country.