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Volume :30 Issue : 2 2002      Add To Cart                                                                    Download

Corruption: Causes, Onsequenses and Cures

Auther : Yousif K. Al-Yousif

The present paper deals with the issue of corruption and its impact on economic development. The topic at hand has, over the last few years, been attracting the attention of scholars and policy makers alike for a number of reasons including: the spread of information resulting from technological advancement, the democratization of governments, and the adverse effects of corruption on the allocation and distribution of resources in both the developed and developing countries. In its exposition of the issues at hand, the paper draws on the most recent theoretical literature and the lessons of experiences from industrialized and developing countries. The paper is divided into three sections. Section I discusses the reasons for the spread of corruption. Section II explores how corruption affects economic development through macro-economic variables such as government expenditures, economic growth, investment, income distribution, and poverty. Section III proposes some remedies for corruption.

Key words: Corruption; Economic development; Accountability; Islamic values.

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