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Global Corruption Data For 2008
24th June 2009
Transparency International released their global corruption data report for 2008 recently. Now you may find it interesting as well as disturbing that corruption in 2008 cost taxpayers US$2.6 trillion. Corruption causes decay of systems and the general health of the economy and affects each and every one of us. So what exactly is corruption?
There are many ways that we personally view and define corruption ranging from fraud to bribery. However, fraud and bribery are part and parcel of corruption itself. So how do we define what corruption is? Transparency International defines corruption as follows:
Corruption is operationally defined as the misuse of entrusted power for private gain. TI further differentiates between "according to rule" corruption and "against the rule" corruption. Facilitation payments, where a bribe is paid to receive preferential treatment for something that the bribe receiver is required to do by law, constitute the former. The latter, on the other hand, is a bribe paid to obtain services the bribe receiver is prohibited from providing. 
The effects of corruption can range from a collapse in good governance in terms of the systems which are provided to the public such as clean water, economic collapse as a result of the latter, a bad impact on democracy and rule of law as well as looting of national wealth which has a devastating impact socially. You may notice that the most corrupt nations are also the most under developed or are even currently at war. These are some of the effects of corruption which ofcourse can be coupled with other causes like greed, self-enrichment and many many more.
What does this have to do with you? Well let's say you are considering doing business with a country which is known for a high level of corruption. You could lose your money or never get your goods actually delivered to you simply because a corrupt nation is a breeding ground for fraudsters. I personally have lost money doing business with some fraudulent characters so it might be of help to you to know a little about global corruption. You might be wondering how you can avoid being a victim of fraud. Well, there is a CPI index (Corruption Perception Index 2008) which has been published by Transparency International. It is well worth a look at their list, some parts come as no surprise but others may alarm you. So to maintain a stable and healthy global economy simply say no to corruption!
"Money can't buy happiness, but it can buy you the kind of misery you prefer. " - Author Unknown
Comments (10):
Ashley Says: I agree Kev. I've travelled to some of the countries listed on that CPI index, it is a nightmare to get any type of service | 06.24.2009 |
Fred Says: It all starts with greed which is a human flaw | 06.24.2009 |
Oliver Says: Self enrichment I would say is the root cause of corruption | 06.24.2009 |
Eline Says: I don't support corruption however I've been in a situation where if I hadn't paid a bribe my son would be history since they refused to give him medical attention unless I paid them a bribe | 06.24.2009 |
Eugene Says: Right there is the socially negative impact. Health care is a right for everyone and not a priviledge you should have reported those people to the authorities | 06.24.2009 |
Trevor Says: I agree, report people who ask for bribes to the authorities | 06.24.2009 |
Janice Says: It's easier said than done. I was in Mexico two years ago and tried to report a fraudster to the authorities, I went through so much trouble and eventually gave up | 06.24.2009 |
Melissa Says: Thanks for the post Kev. Wow $2.6 trillion sure is a whole lot of money | 06.24.2009 |
Isaac Says: Interesting information | 06.24.2009 |
Darren Says: Looks like there is a direct link between corruption and the state of an economy judging from the list from Transparency International, the more corrupt, the less developed | 06.24.2009 |
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