What are the implications of corruption on economic development? 🔊
Corruption has significant implications on economic development, as it undermines trust in institutions and distorts resource allocation. Corruption can lead to inefficiencies, reduced foreign investment, and hindered economic growth by creating a negative business environment. It diverts public funds away from essential services, exacerbating poverty and inequality. Moreover, corruption erodes political stability, as citizens lose confidence in their leaders. Addressing corruption requires robust governance mechanisms, transparency, and an active civil society to promote accountability, ultimately supporting sustainable economic development and improving the quality of life for citizens.
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