Corruption in Arbitration in the United Arab Emirates

Introduction

Corruption is a serious problem in various parts of the world, especially for the developing economies in Asia and African continents. According to Pielke, corruption is like cancer that eats away the potentials of a countrys economy.1 A few people enrich themselves unfairly at the expense of the masses. It is a global problem that affects almost every country, but to a varying degree.

Some of the countries ranked in the Transparency Internationals list as the most corrupt countries in the world such as North Korea, Venezuela, Haiti, Iraq, and Sudan have experienced stagnated economic growth. Such countries cannot develop because of a culture where those trusted with the role of protecting public wealth are using it for their own financial gains. In such countries, mediocrity- especially when it comes to handling public projects- is the order of the day.

Companies without the capacity to undertake specific projects are awarded contracts to undertake infrastructural development because either those in power own them or the directors of such companies are willing to pay bribe.

Doing business in a corrupt environment is not easy. Other than the normal taxation, sometimes companies are forced to pay regular bribe to the government officials on a regular basis for purposes of protection against real or imagined threats. In fact, companies adapt to such environments by ignoring basic guidelines, especially those meant to protect the normal citizens, and instead focus on giving regular bribes to the relevant authorities.

Companies, which are ethical enough not to engage in such practices, find it almost impossible to operate in such countries. The victims in such settings are the innocent citizens. They are denied basic services such as quality education, healthcare, and well-paying jobs. Economic growth and infrastructural development stagnate or sometimes even experience a negative growth. Some people are forced to leave their home country in search of better opportunities elsewhere. As Mashamba simply puts it, corruption is a social evil that cannot be tolerated in a country that is keen on achieving economic growth.2 That is why it is necessary to fight this vice through any means possible. In this paper, the researcher will look at the role of arbitration when dealing with corruption.

Research Questions

Corruption is one of the worst economic crimes in any given country and rooting it out should be the focus of scholars, academicians, government officials, students, parents, and the general members of the public. As such, when conducting a research that focuses on corruption and how to deal with it, it is important to have a clearly guided approach of the study that can help in achieving the desired goals. The following are the research questions that will help in this investigation:

  1. Do arbitrators have a role in combating corruption?
  2. Do anti-corruption investigations influence or affect arbitrations?

Discussion

According to a report by Mashamba, North Korea has one of the worst public health systems in the world.3 Most of the public hospitals lack facilities they need to operate normally because of the massive corruption cases in the country. Doctors often consider leaving the country to practice abroad whenever they can get opportunity to do so. The problem is even worse in Somalia where patients would go to hospitals that lack both the medical facilities and qualified personnel to offer them medical assistance.

They end up dying of simple medical problems that could easily be addressed if the country had a functional public health system. It so happens that these two countries are the most corrupt nations in the world. It is possible to relate corruption with poor state of public health system. The problem is spread across many countries, especially in sub-Sahara Africa and parts of Asia where corruption is rampant. In some countries, people are keen on getting government posts because of the desire to engage in corrupt dealings as a means of getting rich within a very short time.

Corruption affects the education sector, health system, infrastructural development, and ethical behavior among government officers. In some countries, security is compromised because the law enforcers take bribe and ignore crime because the system allows them to do so. Sale and use of drugs become common, destroying the future of the youths, crimes such as rape, robbery, murder, grabbing of public or private property, and many others are rarely prosecuted as long as the accused has a stronger financial might than the victim has, and is willing to bribe the prosecutor, the judge, and investigative officers. Simply put, the rule of law often collapses in a system where corruption is allowed to reign.

Level of Corruption in the United Arab Emirates

The United Arab Emirates is one of the fastest developing economies in the Arab world, according to a report that was released by Mashamba.4 The same report also indicated that the country is one of the least corrupt in the Arab world according to Transparency International, ranked 24th least corrupt country in the world. It is, therefore, possible to associate corruption with lack of proper development. However, it is important to appreciate the fact that the problem of corruption has not been completely eradicated.

For the country to be ranked 24th globally, it means that some elements of corruption are still common in the country despite the massive efforts that have been put in place by various stakeholders to address it. Recent studies show that although not rampant, cases where some government officials receive financial benefits to favor companies when handling contracts have not entirely been eliminated.5 It is not rampant, but it happens occasionally. The public sector is considered less corrupt in this country than the private sector. This is so because sometimes collusions in the private sector may go undetected because of lack of public accountability.

A report by Green, however, shows that the UAE is taking a leading role in the Middle East when it comes to combating corruption.6 This is specifically the case because of the desire by the government and the public to diversify the countrys economy. The best way of doing that is to attract both local and international investors. The investors need a conducive environment where they can do business without the fear of unfair government interference.7

Businesses can only thrive in an environment where there is the rule of law. In an effort to create such an enabling business environment, the government has heavily invested in anti-corruption programs to help promote public awareness about dangers of corruption and the need to report such cases once they are detected. The initiatives have helped in lowering the levels of corruption in the country to a bare minimum.

Corruption is still considered a problem in the country by the government, but it is managed as systems and structures are in place to combat it. It explains why the country has become one of the most preferred investment destinations for foreigners from Europe and North America. The infrastructural development has been impressive and issues about public health, education, and security are taken very seriously by the government.

It does not mean that the authorities and the members of the public should relax in the fight against corruption because the problem is less serious compared with how it affects other countries. As Ganesh notes, the temptation to engage in corruption is always there even in the countries classified as least corrupt in the world.8 It is human nature to try to use a short cut to gain wealth if opportunity arises.

The fight must continue and those in position of power must never be given opportunity to engage in corrupt dealings. Both the public and private sectors must realize that corruption is a vice that cannot be tolerated. This is important because if corruption is allowed to thrive in the private sector, then it may end up finding its way into the public sector. That is why this study is very important because it seeks to find alternative ways of fighting this vice other than through the court system.

Victims of Corruption

Depending on the nature of corruption, the victims of this vice may vary. In extreme cases witnessed in a number of impoverished countries in the world where government officials are only keen on enriching themselves, the victim is always the poor and helpless citizens. They cannot get basic healthcare services because the government officials have stolen the funds meant for equipping and staffing the hospitals. Education system is poor because the government do not see the sense of investing in that sector.

The infrastructure is poor, making it difficult to attract local and foreign investors. Joblessness become rampant in such countries and malnutrition become common. What is even more hurting is that these corrupt government officials invest their stolen money in foreign countries where systems are functional. It is an acknowledgement that they have run down their own countrys systems and structures to an extent that they cannot invest their wealth locally. According to Ganesh, when the victims of corrupt dealings are the innocent members of the public, then the problem is often considered dire, especially if they are helpless and incapable of defending themselves.9

When a tender is given to a less deserving company because the directors have paid a bribe to authorities responsible for making approvals, then there can be a number of victims. The public will be victims if the contracted company fails to deliver value for what they are paid or when they are paid more for a service that would have been done by another company for less. The companies involved in the bidding process will also be victims when they are denied a contract for which they are best qualified to undertake basically because they did not pay a bribe.

The government itself may be a victim if it has to pay more for such projects because it will be forced to source for more cash to fund such projects. When foreign investors avoid a country because of high levels of corruption, both the government and members of the public get affected. The revenues that would have been generated from such investors in form of tax will be lost. On the other hand, members of the public will miss job opportunities that would have been created by such foreign investors.

Understanding the Concept of Arbitration

According to Gomez, arbitration is an alternative dispute resolution technique where issues are addressed out of the court.10 It is a technique where an impartial third party, known as arbiter, is presented with the evidence about what causes the dispute and then he or she is expected to make a decision that is legally binding to both parties and can be enforced by the courts.

Arbitration is a common alternative conflict resolution mechanism when handling commercial disputes, especially among the multinational companies operating in jurisdictions where they believe the local legal system may be inapplicable in handling their case.11 For instance, a foreign firm operating in a country that is strictly governed by Shariah law may feel that the legal system cannot not fairly help in resolving the dispute. In such cases, arbitration becomes the best or even the only alternative of addressing the dispute.

The parties agree to settle the case as per the decision of the arbiter who they must both consider impartial in handling the case. In most of the cases, the decision of the impartial adjudicator is often final and the award they give to the parties aggrieved is enforceable by the courts, unless it is proven that the decision is in fundamental breach of the constitution within the country where it should be enforced. To a large extent, arbitration is often considered a less combative and less confrontational way of solving a dispute.

The aim of the arbiter may not be to offer a win-win deal, but the process is done in a way that makes both parties feel justice has been done. It also eliminates most of the expenses often incurred in a litigation process.

Arbitrators Role in Combating Corruption

In the war against corruption, any relevant tool that can yield the desired results is always welcome. Studies have suggested that to win the war against corruption, a nation should go beyond the legal system.12 The knowledge that corruption could lead to a jail term or any other punitive measures helps in deterring cases of corruption. However, it is always necessary to create a culture where people shun corruption because they understand and abhor its negative impact.

Those who give bribes and those who receive it must understand that the culture is dangerous and leads to long-term suffering not only to the public but also to the giver and receiver of the bribes. That is why in the United Arab Emirates, the concept of corruption and its negative impact on the nation and its people is often taught from a very early stage of education. It is meant to ensure that children grow up knowing the dangers of this vice and the need to shun it in all its forms.

Arbitration is one of the common ways of solving disputes in the United Arab Emirates and in any other country for that matter. Cases tried by the arbiters helps in reducing the backlog of cases in the countrys courts. It also helps in ensuring that cases are tried and solutions found without incurring massive costs both to the parties involved and to the government in terms of the need to hire more judges, prosecutors, court clerks, and other court officials.

Disputes solved through arbitration also helps in ensuring that the two parties involved can come out of the process in good terms, capable of engaging in business transactions in future. However, it is yet to be clear how arbitration can be used to address corruption cases. Extensive research exists on how corruption can be battled through the education system, empowering the public to understand its dangers and the need to avoid it.13

The studies also suggests that coming up with strict measures and serious punishments for the perpetrators, and ensuring that when the cases are brought to court they are expedited so that those found guilty can be sent to jail or given necessary punishment is important. However, little studies are available on how arbitration can be used as a tool to combat corruption. It seems to be a new concept in the fight against corruption because of the nature of the aggrieved and the aggressor in corruption cases. It is important to look at how this alternative conflict resolution technique can be used to solve corruption cases.

Views That Arbitration Can Combat Corruption

According to Moses, although not very common, arbitration can be used to address corruption cases in a more effective manner than the courts.14 In many cases, mega corruption scandals often involve those who are in power. Some dictators and political elites retain their power through corruption perpetuated by themselves and their senior officers. They end up stealing most of the public wealth for their own benefits.

When such leaders are ousted, they often have sympathizers who valued their corrupt ways because they benefited in one way or the other. When such leaders are taken to court to answer to their crimes, the lengthy court cases turn them from perpetrators to victims.

They end up winning public sympathy and such cases may not yield the positive energy needed in the society. The crimes they committed while in power become less significant even to those who were victims as their perceived suffering in the hands of the new rulers become exposed to the public. The new regime fails to be seen as being interested in giving justice to the people by punishing the corrupt. Instead, they are seen vengeful leaders keen on retaliating against those who aggrieved them.

This is specifically common in the Arab world and in many other Asian and African countries where communitariansm is common among the political class. When former leaders of one community is taken to court to answer to their corrupt dealings in the past, they appeal to their community, telling them that their trial is a trial of the entire community instead of being that of a single individual engaged in corrupt activities.

In a report by Moses, when trying powerful individuals who were once in the leadership, care should be taken to ensure that division among members of the public is avoided. The aim of any judicial process is to ensure that justice is served and that the just interest of the public is prioritized.15 When a leader engages in corrupt dealings, his actions go against the interest of the public. Their trial should be seen, therefore, as a move towards serving justice to the public that was aggrieved by the corrupt morals of such leaders.

However, in a highly polarized country where leaders can easily play the tribal card to win the sympathy of a section of the community, great care must be taken when handling the cases. Such corrupt leaders should not be left without making them face the law on the basis that their prosecution may lead to public disharmony. However, the process must be done in a way that will be as less disruptive as it possibly can be. The aim should remain to serve justice to the public using systems and structures that will convince both the public and the parties involved that fairness shall prevail.16 That is where arbitration comes in as the most appropriate way of addressing the issue.

When using arbitration in addressing such delicate situations, the government- through its representatives- will be the aggrieved party while the defendants will be the aggressor. The role of the arbiter will be to listen to the cases brought forth by those parties involved and to make a ruling that will fairly address the injustice. The aim of such proceedings is often to force such individuals to pay back all the resources they stole from the government while in power, and in some cases pay equivalent of the interest that such resources would have earned if they were in the banks. Although the proceedings may not result in jail term for the corrupt individuals, it will be a reminder for them that justice always prevails.

The public will be made to understand that corruption is a dangerous vice and those who embrace it may be forced to pay years after leaving power. Such processes may help the government recover part of the lost money, especially if they were kept in overseas banks. Forcing these people to pay or face a jail term will make them bring back the money hidden in foreign banks. It will also be a positive step towards creating a culture of intolerance towards corruption.

In the United Arab Emirates, cases of corruption are not very common. However, it is common to find cases where individuals use corrupt means to win a contract, especially in the private sector. Such cases are common when the applicants have almost the same qualifications and charge almost the same price to undertake a given project. Under such circumstances, it is possible for one of the applicants to look for a means that would make his or her application stand out among the rest.

One possible alternative may be to bribe the officers responsible for making the approvals. When such cases are revealed, it may be possible to solve the case through arbitration. An arbiter can bring together the other applicants and a mutual solution found. If it is a mega project, the arbiter may decide to divide the contact so that all the parties can share. It is also possible to direct the company that has benefited from such a deal to forego other potential deals for the sake of other companies that did not benefit. The goal of such arbitration will be to create a platform where all the parties involve gain something as a way of promoting justice. The arbiter may recommend some form of punitive measures against the officers who accepted the bribe to discourage such practices in the future.

Views That Arbitration Cannot Help Combat Corruption

According to Kulick, corruption may not sound as serious a crime as murder, rape, or robbery with violence but the truth is that it is worse than any of these crimes.17 A corrupt officer who steals money meant to equip and staff hospitals directly causes deaths of hundreds or even thousands of people who need basic healthcare services but cannot have access to it. When funds to build transport infrastructure are stolen, it means that the sick who needs emergency medical care may not make it because they cannot be taken to the medical facilities within the required time.

A corrupt police officer or prosecutor who accepts bribe and fails to protect the helpless and prosecute rapists only encourages such vices because the perpetrators know they can always get away with it as long as they have the financial power. A corrupt official robs the young children of a nation of their future by running down the education system and burdening the future generation with unbearable foreign debt. It is like cancer, eating the nation from within, and exposing it to a wide range of dangers. The nature of this crime, as Kulick notes, cannot be combated through arbitration.18 The following are some of the reasons that make it impossible to combat the vice effectively using arbitration:

The nature of the aggrieved and the aggressor in major corruption scandals makes it impossible to use arbitration. In almost all the cases, victims of corruption are the citizens who have entrusted their leaders to take care of their interest. When a corrupt official steals money meant to take care of the sick, and people end up dying because of poor medical system, it is not possible to put the perpetrators with their victims (some of whom may be dead) on a table to reach a consensus. It is not possible to compensate some of the victims of corruption. The number of people who may want their interests to be represented in such proceedings may be overwhelmingly many and their interest would vary. It is only through a court proceedings that true justice can be served to the victims.

According to Van, there is always the inability of the arbiter to compel the involved parties to release incriminating documents during the arbitration proceedings.19 The arbiter lack the powers that a judge would have. Sometimes the documents may be needed to show that indeed there was corruption. Without such documents, it is not possible for the arbiter to make a conclusive decision about the case.

It means that it is easy for the perpetrations to get away with a crime in arbitration processes because they can easily hide the incriminating documents. Combating corruption require a platform that will make it difficult for the perpetrators to escape the law. They should not have loopholes that can allow them to go away with such a serious crime. This major weakness of arbitration makes it very unreliable means of combating corruption.

Limited nature of punishment that an arbiter can hand down to the corrupt individuals once it is clear that they are guilty also makes it a less attractive means of combating corruption. Corruption is a crime worse than murder and terrorism because it facilitates all the other crimes and social evils in a community.20 People found guilty of this malpractice should receive maximum sentence depending on the nature of their crime. It is appropriate to send them to prison, besides forcing them to return the stolen funds and pay fines, so that it can be a reminder to every other person who may want to try to engage in corrupt dealings.

However, an arbiter cannot hand down a jail sentence to such criminals. It means that it is a weak system that should never be used when addressing a serious problem such as corruption. Arbiters mostly award damages to be paid to the aggrieved parties. However, it is not possible to compensate the dead who lost their lives because of corrupt police officers, government officers meant to improve the countrys infrastructure, or officers responsible for managing healthcare institutions.

Ease of manipulation and limited credibility before the eye of the public is another issue that makes arbitration a less desirable approach of managing corruption cases. Many people, including those who have post-secondary certificates, do not understand the concept of arbitration and how it works. They do not view it as a credible means of seeking justice against corrupt officials. They prefer a judicial system where the corrupt individuals are taken to court to answer to their charges.

As such, it may not be an appropriate system when trying high profile cases where members of the public are unified in their quest to see such people pay for their crimes. It is also easy to manipulate an arbiter. In a corrupt system, it is easy to bribe an arbiter or manipulate him through threats and blackmail to influence his or her final decision.21 The arbiter, who might have been impartial at the beginning of the case, may be compromised along the way, making it impossible to achieve justice in the process. The aggrieved may consider going to court, which means that the entire arbitration process will be considered a waste of time and resources.

Need for other agencies (the court) to enforce decision of the arbiters is also another problem that makes it a less desirable approach of combating corruption. After listening to the case presented, an arbiter may decide to award damages to the aggrieved victims, if that can possibly be done. However, it is possible for the offender to ignore the ruling until such a time that the decision is enforced by the law. No legal action can be taken against such a person for ignoring the decision of the arbiter until a directive of the court is issued for them to comply.

It may take a while to get that order and as Holmes notes, when justice is delayed, then one may consider it justice denied. In some cases, the courts may make its own independent analysis of the case and can overturn the decision of the arbiter.22 It means that sometimes the arbiters decision can just be a mere legal suggestion that may not have significant bearing on the parties.

How Anticorruption Investigations Influence Arbitration

The anti-corruption investigations may influence arbitration in a number of ways. According to Van, such investigations often involve gathering evidence from all possible sources, including getting a court order to search premises of the individuals believed to have been involved in the vice.23 That may have a negative influence on arbitration where the focus is to bring two or more willing parties together and find a solution in a non-confrontational manner.

Anticorruption investigation often involves using government instruments such as the police to investigate the issue, a practice that is not common during arbitration. An arbiter will rely on the evidence produced by the parties involved, without compelling any of them to deliver documents against their wish. It is a further demonstration of how unreliable arbitration is when it comes to combating corruption because it is incapable of conducting a thorough investigation.

Conclusion

Corruption is one of the most dangerous vices to a countrys socio-economic and political development. It affects infrastructural development, improvement of education sector, compromises law enforcement and the entire justice system, affects the health sector, scares away local and foreign investors, and affects almost every aspect of a countrys economy. The fight against corruption must be approached with seriousness that it deserves.

Arbitration may be a possible approach when addressing corruption cases that cannot be effectively addressed in the courts. However, it is clear from the above discussion that arbitration can only be used in supernormal cases, such as when handling leaders who may steal have significant influence in a section of the community. However, under normal conditions arbitration stands no chance in the war against corruption. As such, the study suggests that it should be used sparingly when it is clear that the court system cannot be used effectively.

Bibliography

Ganesh S, The Counterinsurgents Constitution: Law in the Age of Small Wars (Oxford University Press 2013).

Gomez N, Collapse of Dignity: The Story of a Mining Tragedy and the Fight against Greed and Corruption in Mexico (Ben Bella Books 2013).

Green V, Corruption in the Twenty-First Century: Combating Unethical Practices in Government, Commerce, and Society (Cengage Learning 2013).

Holmes L, Corruption: A Very Short Introduction (Oxford University Press 2015).

Kulick A, Global Public Interest in International Investment Law (Cambridge University Press 2012).

Mashamba C, Alternative Dispute Resolution in Tanzania: Law and Practice (Mkuki na Nyoka 2014).

Moses M, The Principles and Practice of International Commercial Arbitration (Cambridge University Press 2012).

Noussia K, Reinsurance Arbitrations (Springer 2014).

Pielke R, The Edge: The War against Cheating and Corruption in the Cutthroat World of Elite Sports (Roaring Forties Press 2016).

Van H, Sovereign Choices and Sovereign Constraints: Judicial Restraint in Investment Treaty Arbitration (Oxford University Press 2013).

Van S, Fighting Corruption Collectively: How Successful Are Sector-Specific Coordinated Governance Initiatives in Curbing Corruption (Springer 2017).

Vogl F, Waging War on Corruption: Inside the Movement Fighting the Abuse of Power (Springer 2016).

Footnotes

  1. Roger Pielke, The Edge: The War against Cheating and Corruption in the Cutthroat World of Elite Sports (Roaring Forties Press 2016) 14.
  2. Clement Mashamba, Alternative Dispute Resolution in Tanzania: Law and Practice (Mkuki na Nyoka 2014) 28.
  3. Ibid 33.
  4. Ibid 54.
  5. Vincent Green, Corruption in the Twenty-First Century: Combating Unethical Practices in Government, Commerce, and Society (Cengage Learning 2013) 22.
  6. Ibid 23.
  7. Ibid 35.
  8. Sitaraman Ganesh, The Counterinsurgents Constitution: Law in the Age of Small Wars (Oxford University Press 2013) 45.
  9. Ibid 34.
  10. Napoleon Gomez, Collapse of Dignity: The Story of a Mining Tragedy and the Fight against Greed and Corruption in Mexico (Ben Bella Books 2013) 61.
  11. Ibid 23.
  12. Kyriaki Noussia, Reinsurance Arbitrations (Springer 2014) 42.
  13. Ibid 44.
  14. Margaret Moses, The Principles and Practice of International Commercial Arbitration (Cambridge University Press 2012) 71.
  15. Ibid 12.
  16. Ibid 16.
  17. Andreas Kulick, Global Public Interest in International Investment Law (Cambridge University Press 2012) 13.
  18. Ibid 67.
  19. Harten Van, Sovereign Choices and Sovereign Constraints: Judicial Restraint in Investment Treaty Arbitration (Oxford University Press 2013) 84.
  20. Ibid 70.
  21. Vogl Frank, Waging War on Corruption: Inside the Movement Fighting the Abuse of Power (Springer 2016) 52.
  22. Leslie Holmes, Corruption: A Very Short Introduction (Oxford University Press 2015) 18.
  23. Schoor Van, Fighting Corruption Collectively: How Successful Are Sector-Specific Coordinated Governance Initiatives in Curbing Corruption (Springer 2017) 90.

Determinants of Corruption in Nigeria

In general, corruption in Africa is a broad topic, and it is essential to narrow down the scope of the study to achieve more detailed and relevant results. Therefore, in this research, I am planning to focus on the empirical part of the topic and attempt to make a positive change in society. In other words, I am not going to study morality, philosophy, history, and side effects of corruption in Africa, but rather solely focus on possible solutions to the problem. Although corruption is an ingrained issue of many developing countries, I believe it is possible to make a positive change via collaborative effort, as demonstrated in the previous research (Abu & Staniewski, 2018; Galperin et al., 2020). Ultimately, empirical studies and practical implementation constitute the focus of my topic statement.

The core ideas of my topic statement include the ingrained causes of corruption in Africa, freedom of media and its impact on bribery, the development of ethical businesses, and my potential academic contribution to the fight against corruption. Many scientific studies are devoted to the topic; however, most of them are descriptive and concern theoretical frameworks (Budhram & Geldenhuys, 2018; Turyakira, 2018). Therefore, after reviewing the existing literature, my topic shifted to the practical solutions to corruption in Africa. At present, there are several studies devoted to empirical studies, such as the research of bribery in the health sector by Onwujekwe et al. (2020). However, the literature gap between the theoretical and practical implications still exists, and I plan to contribute by focusing on the possible solutions to the problem. Ultimately, I chose a broad topic at first; however, shifting to empirical study and practical implementations narrowed down the scope of my work and would be beneficial to my research.

References

Abu, N., & Staniewski, M. (2019). Determinants of corruption in Nigeria: Evidence from various estimation techniques. Economic research-Ekonomska istra~ivanja, 32(1), 3052-3076.

Budhram, T., & Geldenhuys, N. (2018). Combating corruption in South Africa: Assessing the performance of investigating and prosecuting agencies. Acta Criminologica: African Journal of Criminology & Victimology, 31(2), 23-46.

Galperin, B. L., Enueme, C. F., & Dixon, D. P. (2020). Pay the bribe or take the high road: Dilemma of a young female Tanzanian entrepreneur. The CASE Journal, 16(1), 75-96.

Onwujekwe, O., Orjiakor, C. T., Hutchinson, E., McKee, M., Agwu, P., Mbachu, C.,& & Balabanova, D. (2020). Where do we start? Building consensus on drivers of health sector corruption in Nigeria and ways to address it. International Journal of Health Policy and Management, 9(7), 286.

Turyakira, P. K. (2018). Ethical practices of small and medium-sized enterprises in developing countries: Literature analysis. South African Journal of Economic and Management Sciences, 21(1), 1-7.

Elite Squad 1&2: The Theme of Corruption

In the films Elite Squad 1 and Elite Squad 2, Nascimento has reservations towards the rich in the Brazilian society because of their greed and corruption. The rich class is presented as consisting of selfish drug lords who ride in armored cars and are more than willing to kill anybody who get along their way. The seniors in the law enforcement agencies have to protect the interest of this class because they are bribed periodically to protect the drug trafficking industry. For instance, Major Olievera goes out of his way to protect the drug lords against his duty of stopping them (Padilha, scene 4). I agree with Nascimento on his criticism of the rich within the Rio de Janeiro (Padilha, scene 6).

The media is presented as adopting a partisan approach in reporting the activities. The media sugarcoats the drug lords and extorts their reporting of the events in the Rios crime and corruption as seen in the film Elite Squad 2 instead of exposing the truth. This differs with the media reporting of the events in Presunto Culpable where the truth is reported in black and white of the shooting incident (Padilha, scene 8).

The Scope of corruption on the two films

The main causes of corruption in these movies are the enticements that compel the law enforcement agencies to cover the tracks of those involved in illegal business of selling drugs. In addition, the weak government control systems may also be blamed for the state of corruption in these movies. In order to stop these corruptions, the governments of these societies should introduce better trained and properly remunerated law enforcement agencies. The governments may also introduce bills that promote longer penalties for those convicted of corruption. Finally, staff rotation and transfers should be encouraged.

Works Cited

Padilha, Jose, dir. Elite Squad: The Enemy Within. Globo Films, 2010. Film.

The Corruption Perceptions Index (CPI)

Due to the fact that the Corruption Perceptions Index (CPI) reflects the degree of corruption in countries, it can also denote the level of integrity performance. The CPI is usually calculated on the basis on the results of surveys and polls conducted by experts in the field.

The assessment is usually performed on the scale from 0 to 10; so, the higher score indicated on the scale, the lower level of corruption the country has. Thus, countries possessing 10 scores have the lowest corruption level whereas countries whose score equals 0 have considerable problems in economy due to corruption and bureaucracy (United Nations Human Settlements Program, 2007).

While considering the value of CPI, specific emphasis should be placed to the role of evaluating corruption situation all over the world. At a global scale, CPI provides a strong international framework for considering the corruption rates subjectively by experts, risk analysts, and businesspeople (Heffernan & Kleinig, 2004).

By presenting the assessment of CPI, the respondents could also evaluate the level of bribery and the countrys involvement into shadow economy. According to Heffernan and Kleinig (2004), CPI scores, like all other single-score country-level indicators, reduce potential qualitative differences to matters of degree while obscuring contrasts within societies (p. 278). Therefore, awareness of the situation in the countries allows the population to compare their corruption levels with other countries to take the corresponding measures.

According to CPI scores in 2011, the five countries with the highest level of corruption involve Somalia (1), Afghanistan (1.5), Myanmar (1.5), North Korea (1), and Turkmenistan (1.6). Most of these countries are located in the African and Asian regions. The countries with the lowest levels of corruption include New Zealand (9.5), Finland (9.4), Denmark (9.4) Sweden (9.3), and Singapore (9.2) (Transparency International, 2011).

With regard to the presented scores, it is possible to make a number of conclusions. In particular, due to the fact that the countries with the highest scores have advanced economic development and life standards, there is the positive correlation between these two indices (Hill, 2010). In contrast, the countries with medium and low life standard possess the lowest CPI score, which implies that high corruption levels negatively influence economic and social development of these regions.

The CPI value is premised on various economic and business indicators, as well as on subjective meaning of experts and business people. Therefore, it is possible to draw the line between economic development in general and corruption scores.

Within this context, countrys achievements in total revenues and total production rates should directly relate to the economic stability in the region (Detzer. 2010). Another tendency reflected by the CPI detects the evident connection between corruption and employment rates because the majority of developing countries have the lowest CPI, pointing to their low employment rates.

In conclusion, CPI provides a subjective evaluation of the degree of corruption in various countries annually. Using this index introduces a comparative evaluation of economic prosperity in various countries, as well as the economic trends associated with them.

With report presented above proves that the developed countries are more likely to have the highest CPI score whereas the developing countries with poor economy are likely to have the lowest CPI score. In addition, the analysis of surveys and polls across countries also presents a wider picture on the future of international relations and global business.

References

Detzer, D. (2010). The Impact of Corruption on Development and Economic Performance. Germany: GRIN Verlag.

Heffernan, W. C., & Kleinig, J. (2004). Private and Public Corruption. US: Rowman & Littlefield.

Hill, C. W. L. (2010). Global Business Today, US: South University.

Transparency International (2011). Corruption Perceptions Index 2011. pp. 1-7.

United Nations Human Settlements Program. (2007). Enhancing Urban Safety and Security: Global Report on Human Settlements. US: Earthscan.

Excessive Business Regulations and Corruption

Introduction

This paper is based on the topic of business regulation. It seeks to explore the linkage between excessive business regulation and levels of corruption. For the purpose of the paper, business regulation is taken to mean the laws and institutions established by governments to govern the establishment of businesses either by local citizens and companies or by foreign investors. Corruption is taken to mean the misuse of authority and power by public officials for personal gain. The paper relies on the World Bank report on Ease of Doing Business (EDB) and Transparency Internationals (TI) Corruption Perceived Index (CPI). It also uses data from other sources.

Discussion

Many economic analysts have argued out that there is need for governments to regulate the business environment so as to avoid market failures. Market failures happen when the government of a country does not lay out regulations to be followed in doing business in the country. Such regulations may govern things like taxation, acquisition of business permits, employment regulations, corporate social responsibility, import and export tariffs, registration of businesses and protection of investors from unfair competition.

Another perceived importance of business regulation is to curb corruption and illicit trade or illegal businesses. If there are no regulations, then corrupt public officials may take the opportunity to seek bribes from investors, who may end up parting with huge chunks of money only for them to have their business permits cancelled after a short time when regulations are put in place. If there are no regulations, it could be easy for anybody to engage in illicit trade such as sell of drugs and smuggling of weapons and ivory (Braithwaite and Drahos 45).

While it is a good thing to have the government put regulations in place, some economic analysts have pointed out that excessive regulations actually slow economic development for a country. Excessive regulations are taken to mean having too many regulations and procedures which govern establishment of a business. If there are too many regulations and procedures, the overall effect is a slow process of establishing a business. The many regulations and procedures act as a barrier to quick economic growth given that foreign investors and multinational corporations may be scared away by such regulations. If there are few foreign investors, then it means the country does not get enough foreign exchange and this slows economic development.

The argument that excessive regulations may slow economic development may not be as true as it may seem. The reason is that research has shown that corruption and poor institutions are the main culprits which make it hard to establish a business in a country. The reason is that with corruption, the regulations are just there in writing but they are not followed. When the regulations are many, potential investors may be tempted to part with bribes so as to avoid some of them. Even when the regulations are not many, public officials may create their own regulations so as to solicit for bribes from the public.

Other economic analysts have argued that corruption has been institutionalized and plays a crucial role in economic development especially for countries with excessive regulations. Through corruption, potential investors are able to obtain business permits and other requirements within a very short time and establish their businesses. Such investors consider the bribes as negligible when compared to the amounts of profits they generate once they establish the businesses. The practice is common in Africa where there are very few local investors with huge capital to establish businesses. In other situations, governments are known to give free land to foreign investors on condition that they create jobs for the youth. However, such investors are forced to part with bribes so as to enjoy such privileges.

Even though corruption is considered as unethical in any business, it plays a crucial role in the development of the emerging economies. Without it, it can be argued that the developing countries may not move forward due to absence of the adequate legal infrastructure to govern economic development.

As a general rule, countries with many regulations are the least attractive to investors. On the other hand, countries with few regulations are the most attractive to investors. The EDB therefore depends on how long it takes to start a new business and the associated costs. According to the World Bank ranking of EDB, countries in the West are ranked as the best. The reason is that they have established legal systems to guide political, economic and social development. They also have stable governments. On the other hand, countries in Africa are ranked as the worst due to poor governance and absence of strong legal infrastructure to guide economic, social and political development.

EDB and CPI Ranking

The table below shows the rankings of the top 5 and bottom 5 countries in terms of EDB by World Bank in 2013 (World Bank 87) and CPI by TI 2013. CPI is measured on a scale of 0-100, with 0 being most corrupt and 100 being least corrupt (Fletcher and Herrmann 27).

Top 5 Countries in EDB
Country EDB Ranking CPI
Singapore 1 86
Hong Kong 2 75
New Zealand 3 91
United States 4 73
Denmark 5 91
Bottom 5 countries in EDB
Chad 189 19
CAR 188 
Libya 187 15
S. Sudan 186 14
Congo 185 

The top 5 countries in EDB have fewer regulations and requirements to establish a business. They also have a less bureaucratic system of business administration and registration. Such countries also have high success rates for businesses as well as strong economies. In terms of corruption, the countries have very low levels of corruption and this explains why it is easy to start a business. It can therefore be argued that few regulations are directly related to minimal corruption in that once the regulations are few; it means that there are no opportunities for public officials to seek bribes from potential investors.

These countries also have low levels of crime and unemployment. The reason is that they are able to provide jobs to nearly all citizens and especially to the youth. They also have social protection programs for citizens who are not financially stable and the elderly. Their development index is therefore very high since they form markets for raw products from the poor countries. They are also a preferred destination for talented manpower from poor countries who are employed to use their talents in improving those economies.

On the other hand, countries which are ranked as the worst in EDB have many business regulations. Taking the example of Chad, it takes a minimum of 60 days to undergo through 9 or more procedures to establish a new business. On the other hand, it takes a maximum of 5 days to establish a new business in Australia and New Zealand. In the countries which are ranked as the worst in EDB, there is rampant corruption which is attributed to the high number of regulations and the long duration taken to undergo through such regulations. The many regulations act as a recipe for corruption. Most of these countries are actually classified as failed states by TI.

They are characterized by high levels of unemployment, political unrest, civil strife, ethnic violence, poor health infrastructure and dwindling education levels. The countries are also known for illicit trade such as drugs and smuggling of outlawed products and small arms. The overall effect of these is high levels of corruption which is not easy to fight.

Conclusion

There is need for governments to put up regulations to govern investments in any economy. The reason is that such regulations prevent market failures. Regulations are put in form of laws and institutions which govern the business environment. However, there is need for governments to limit the number of regulations because excessive regulations are directly related to corruption since public officials use it as a tool to solicit for bribes from potential investors.

It has also been shown that countries which are ranked as the best in EDB have low levels of corruption as opposed to countries ranked as the worst in EDB, which have high levels of corruption. It is therefore prudent for governments to focus more on fighting corruption than putting the regulations because the regulations are not capable of preventing corruption. If corruption is dealt with, then the need of having many regulations for doing business would not arise.

Works Cited

Braithwaite, John, and Peter Drahos. Global Business Regulation. Cambridge: Cambridge Univ. Press, 2000. Print.

Fletcher, Clare, and Daniela Herrmann. The Internationalization of Corruption: Scale, Impact and Countermeasures. Farnham, Surrey, Burlington, VT : Gower, 2012. Print.

World Bank. Doing Business 2013 : Smarter Regulations for Small and Medium-Sized Enterprises. Washington DC.: International Finance Corporation, 2013. Print.

International Business: Corruption and Bribery in Latin America

Introduction

Corruption is a widely known social phenomenon that is regarded as a problem in the modern world. In this instance, it could be said that the occurrence of corruption can be seen in almost every country, as it is not difficult to set in motion, and many countries lack the kind of well-established legal system that will sufficiently control this wrongful state of affairs (Krivins & Vilks, 2013). The importance of eliminating such social blemishes as corruption and bribery cannot be underestimated. These activities adversely affect a societys moral principles while intensifying the popularization of an economy of greed and causing a general disregard for ethics (Kriekebaum, 2008, p. 82).

Meanwhile, it has a deleterious influence on the understanding of the principles of equality, liberty, freedom, and democracy while building a strong association between the rise of corruption and the democratic nature of the state (Canache & Allison, 2005).

Based on the factors discussed above, it could be said that a combination of these aspects depicts the essentiality of minimizing or eliminating this issue, as its consequences tend to affect the economic and social condition of a country destructively. In the context of this paper, it could be claimed that in Latin America, the frequency of the occurrence of corruption and bribery tends to rise in response to the malfunction of inherent power mechanisms and as an intrinsic part of the areas business culture. Furthermore, any prevention strategy should involve implementing a sequence of steps to minimize the incidence by prioritizing the cultivation of changes in how business is allowed to function in the area.

In this instance, the primary goal of the paper is to increase the awareness of issues related to bribery and corruption by addressing theoretical concepts and applying them in the context of the situation in Latin America. Meanwhile, it is vital to determine the key drivers, which lead to the encouragement of this phenomenon and offer insights into the potential negative effects on the prosperity and well-being of society.

The profound analysis of the mechanisms and structure of corruption and bribery will contribute to the understanding of their functioning and potential influences on the world. In turn, various prevention strategies are proposed while using the scholars and practitioners viewpoints as a basis to determine the most efficient tactic for implementation of strategies to improve conditions in Latin America. Lastly, conclusions are drawn to summarize the key findings of the paper and recommend a practical and relevant approach in the case described.

Theoretical Concepts and Theories: Definition of Corruption and Working Mechanisms

The term corruption is difficult to define due to the presence of a plethora of dissimilar theoretical concepts, which make this phenomenon a risky and much-disputed endeavor (Fletcher & Herrmann, 2016, p. 16; Hill, 2015). However, the definition can be portrayed as an act, which is targeted at the achievement of desired goals by violating the general principles of the legal system while being present in different spheres of life (Krivins & Vilks, 2013; Hill, 2015).

In this case, it could be regarded as a social instrument utilized to alter the behavior of individuals in society by seducing them with monetary rewards or other inducements. Nowadays, it is actively practiced since it is regarded as a number of potential problem-solving instruments (Krivins & Vilks, 2013).

In turn, bribery could be defined as offering monetary resources and other goods to contribute to desired changes in the behavioral patterns of the recipient (Malan & Smit, 2001; Hill, 2015). It could be said that this concept underlines the egoistic nature of the human being, and the dynamics imply that the inner positioning of the culprits should be changed (Malan & Smit, 2001, p. 232). This aspect reflects the cognitive nature of the phenomenon and highlights that emotions and personal beliefs affect the actions of an individual, including the decision to resort to acts of corruption and bribery. Understanding the psychological component of this singular fact reveals that social and personal values have a critical influence on the behavioral patterns of people and their attitudes.

Despite a clear understanding of the overall working principles of corruption and bribery, typological diversification has a tendency to exist while dividing this phenomenon into arbitrary and pervasive actions (Cuervo-Cazurra, 2008). In this case, pervasive corruption implies the necessity to use monetary instruments for bribery to ensure the possibility of operating in the market, and arbitrary corruption states that the act of bribery does not guarantee the achievement of the desired goals (Cuervo-Cazurra, 2008).

In this case, arbitrary corruption involves a high level of uncertainty while making this social phenomenon a potential obstacle to doing business in the area. Meanwhile, corruption can be distinguished by the actor who is responsible for the corrupting activities while stating that the participants might be represented by an individual or organization (Pinto, Leana, & Pil, 2008). Nonetheless, despite the clear theoretical identification of the actors, it is difficult to understand the variances in practice. In some cases, it is unclear who is responsible for particular actions.

In the end, it could be summarized that corruption is a complex phenomenon, which requires a clear understanding of its working mechanism and its principles. It could be said that this term has a high correlation with cognitive psychology, sociology, and economics and is present in different spheres. Corruption could alternatively be regarded as a positive phenomenon due to its problem-solving nature and negative due to its possibility of causing doubt and uncertainties. Lastly, it could be said that corruption can be present in dissimilar domains because of the universal application of the principle and similar concepts in any decision-making mechanism and values in these areas.

Analysis of the Situation in Latin America

As was claimed earlier, corruption in Latin America has a tendency to increase as it adversely influences economic stability in Latin American countries. In this case, it is essential to describe the situation in a country with the help of statistical resources while utilizing numerical data for clarity. In this case, a corruption index is used to measure the transparency of the region, portraying the gradation of countries from zero (transparent) to 100 (fully corrupted) (Transparency International, 2015).

For instance, Brazil has decreased its index from 43 to 38, showing negative progression in transparency with a place of 76 in the ranking (Transparency International, 2015). In turn, Mexico has a worse position, with a value of 35 and rank 95 on the list (Transparency International, 2015). As for Colombia, the third-biggest country in terms of population in Latin America, an index of 37 is listed, with position 83 (Transparency International, 2015).

Meanwhile, other countries associated with the region display a similar situation regarding transparency index and ranking in the world (Transparency International, 2015). The above-named countries are the most influential in the area, due to their size and economic importance. Consequently, the level of corruption is a critical identifier of political and economic stability in these countries, showing a negative progression in the ranking of these areas.

In turn, comparing the situation in the selected countries with related statistics in other parts of the world will contribute to understanding the ranking of the area in terms of its transparency and corruption rates. In this comparison, the leading positions are occupied by Denmark, Finland, and Sweden, ranking 91, 90, and 89 (Transparency International, 2015). The countries conditions tend to improve or move in a positive direction while being highly correlated with the quality of living and equality of the members of Nordic societies (Transparency International, 2015).

It remains apparent that Scandinavias situation cannot be compared with the countries in Latin America, as the ranking and transparency index is highly different, with a wide gap in transparency rates. In this instance, the comparison reveals that Latin America has high corruption rates, which detrimentally impact the populations quality of living as changes continue to show a negative trend.

In the end, it could be said that the facts and statistics provided above emphasize that the level of corruption is critical and is showing a tendency to progress in Latin America, in comparison to other countries in Scandinavia such as Finland, Sweden, and Denmark. It could be highlighted that the leading countries of Latin America do not have the highest ranking in the list. Still, their positions are actually highly valuable to the prosperity and economic development of the area, as they have low corruption rates.

Consequently, it could be said that the level of corruption in Latin America is critical, as a rise in its prevalence might be a potential cause of negative consequences, such as the instability of the economy and the continuous expansion of the gap between the different levels of income and social classes. Finding the solution to this issue should be prioritized due to the strong correlation between economic and political stability in the region and the overall perception of Latin America in terms of comparative transparency to other countries in the world.

Reasons for Corruption and Bribery in Latin America

Meanwhile, it is critical to provide a rationale for the incidence of this phenomenon while exploring the particular features of the business and corporate cultures in Latin America. One of the potential reasons for the occurrence of corruption and bribery is the domination of certain values in the organizational culture, which become the drivers for the development of particular behavioral patterns, and reasons for certain actions in specific situations. In this case, Brazil serves as an example in terms of a lack of understanding of the importance of ethical leadership as a corruption prevention tool (Halter, Halter, & Arruda, 2009).

The overall underestimation of ethics cultivates the rise of corruption rates in the business sector, even as transparency comes under question. The importance of this matter cannot be underrated, considering the potential influence of these practices on overall business processes and decision-making principles in any affected organization.

Apart from misconceptions in the business culture, the absence of well-established control tools serves to lead to an increase in corruption and bribery rates in the region. In this case, Latin America shows poorly functioning political, economic, and social mechanisms and portrays a correlation between the structure of the justice system and corruption levels (Rios-Figueroa, 2012). Research has shown that unstructured law and governmental schemes can lead to the rapid progress of corruption due to the absence of any well-established control mechanisms (Rios-Figueroa, 2012).

Case studies from Chile and Mexico offer profound evidence that failure by governmental authorities to address the issue and the lack of well-established control mechanisms within the legal structure tend to have a magnifying impact on the development of corruption (Rios-Figueroa, 2012). In the context of Latin America, these matters drive an upsurge in corruption that can be attributed to the existence of favorable conditions, leading to one of the critical problems afflicting the area.

Meanwhile, high crime rates and the wrongful understanding of equality have an adverse influence on the functioning of the countries, as well as driving the rise in corruption (Ungar, 2013). In this case, an unlawful conception of the principles of democracy causes an upsurge in crime rates, even as the actions of governmental authorities are limited due to the lack of compliance with the constitution (Ungar, 2013). It remains apparent that this aspect has a critical interdependence with the reasons mentioned, as it reflects the condition of the economic system and determines the necessity of considering the values associated with corporate culture mentioned above.

Summarizing the reasons for the occurrence of corruption as mentioned above, it could be said that the political structure, social values, legal system, and business culture are the primary drivers for corruption and bribery in Latin America. It is apparent that the lack of control and the devaluation of ethics contribute to cultivating the rise of corruption, and vice versa. These matters add clarity to understanding the development of this phenomenon in the region, as the dearth of control and ethics leads to an increase in corruption rates.

Negative Consequences of Corruption and Bribery on the Society in Latin America

It remains apparent that corruption is often regarded as an adverse phenomenon due to its negative impact on the society, justice system, and economic stability of each country in the region. For instance, the unequal distribution of resources is a primary cultivator of poverty, as some layers of the population remain deprived (Carballo, 2010). This matter creates a substantial gap between different levels of income, raising questions about the reasonability of governmental actions and the beneficence of the political regime. The lack of financial resources is the primary reason for the decrease in well-being and prosperity that troubles the countries within Latin America. As a consequence, this approach leads to a lack of control in social segments and an inability to predict the actions of the citizens and is a threat to national stability and safety, as well.

Meanwhile, the incidence of political corruption has an adverse impact on the creation of a trusting relationship between governmental authorities and citizens (Canache & Allison, 2005). It could be said that such corruption has a negative influence on perceptions about democracy, as residents build an association that correlates the democratic regime with corruption in Latin America (Canache & Allison, 2005). It remains apparent that this approach leads to the development of misconceptions about the political scheme and could be regarded as a potential cause of the growth of potentially disruptive social attitudes in the future.

Apart from the general negative consequences, pervasive, arbitrary corruption is a primary threat to direct investment, as it can be linked to increased levels of uncertainty and instability of the market (Cuervo-Cazurra, 2008). This matter causes investors to question the attractiveness of the market, decreases the pace of development of domestic industry, and raises doubts about the appeal of the market to foreign direct investments. In this case, corruption has a serious and negative impact on the development of the overall national economy and drives the budgeting activities in the region.

In the end, it should be highlighted that the matters discussed above could be considered as being equally vital, as they tend to bring into question the economic and political stability of the countries. The population could be regarded as the primary focus of influence, as the existence of corruption creates a gap between people with different levels of income, and at the same time, adversely influences the overall well-being of the nation. In turn, it could be regarded as a source of political instability because it encourages the creation of wrongful perceptions about democracy. Lastly, the attractiveness of investing in the industry in Latin America is doubtful, as the uncertainties introduced by corruption serve to repel foreign investors.

Potential Prevention Strategies

Based on the factors discussed above, the paramount importance of the issue cannot be underestimated, as it has an adverse influence on the economic and social stability of the population in Latin America and affects the business culture and attraction of foreign investment to the countries in the region. With regard to bribery and corruption, potential prevention strategies must be assessed and described to ensure the applicability of the tactic in the case under consideration, with a focus on the initial causes of corruption in the area. The approaches that follow cover the issue from dissimilar perspectives and suggest possible instruments that might improve the current condition.

It could be said that the research tends to highlight how increased frequency of random checks and making the cultivation of clean working culture a priority, as essential elements for the minimization of the occurrence of bribery (Zou, 2006). The application of this strategy will determine the current situation in the country, while institution of random and regular checks will discourage or even eliminate the act (Zou, 2006, p. 15). Meanwhile, this tactic could be regarded as the first step for changes in the corporate culture, as the employees, workforces, and partners behavioral patterns will be dictated by unsystematic auditing.

The rediscovery of the involved legal principles might be regarded as another approach, as legal concepts form the understanding of the principles of business and political interactions and the way in which they comply with the law (Krivins & Vilks, 2013).

The auditing of actions and the cultivation of such new principles as responsibility, compensation, in dubio pro reo (one cannot be convicted if there is any doubt of guilt), the principle of compensation, the principle of control, the principle of objectivity, and the limitation within the timeframe will have a beneficial influence on the current situation with regard to corruption in Latin America (Krivins & Vilks, 2013, p. 236). It could be said that this prevention strategy will cultivate the principles of justice and stability in the countries under consideration while contributing to the reestablishment of ethical legal and business principles.

Meanwhile, another tactic implies focusing on a systematic approach with an eye to influencing the social sector from different angles simultaneously (Gorta, 2003). In this case, this strategy will contribute to acquiring an overall picture of the issue in Latin America while focusing on the most affected segments such as social, political, and economic areas. Moreover, the described approach increases the scope of considering the implications of policies targeted at reducing corruption, as it tends to take into account every segment of the social system.

In the end, it could be said that the effectiveness of the strategies described is dependent on the current situation in the country. It will be necessary for governmental authorities to seek the initial reason for the occurrence of high corruption rates, as minimizing or decreasing the supplementary problems might decrease the overall efficiency of the selected prevention approach. In the context of the situation in Latin America, the redesign of the business culture and continuous auditing of the legal system should be regarded as the action with the highest priority for the prevention of corruption due to the core nature of the principles involved.

Conclusion and Recommendations

The initial purpose of the paper was to thoroughly analyze the corruption plaguing Latin America as a political phenomenon, which has a cognitive component and could play the role of a problem-solving instrument. In turn, the typologies are dependent on whatever actor is in charge and responsible for the actions and the nature of uncertainty associated with the potential effectiveness of activities aimed toward the achievement of the particular goal. Meanwhile, the paper discussed these principles from a theoretical perspective while depicting the conceptualization and classification of the impact of corruption and bribery on various aspects of society. In this case, the initial emphasis of the paper was to describe the phenomenon of corruption by using Latin America as an example.

Simultaneously, it could be said that the essay revealed the potential rationale for the presence and growth of corruption and bribery in Latin America. The situation in the region is critical, as the rate of corruption continues to rise. In this case, corruption is identifiable and applicable in different spheres; that is to say, the conceptualization implies the existence of social mechanisms, such as business culture and social values, as the primary drivers for the popularization of bribery and corruption in the area.

In turn, the absence of any well-established punishment and control system contributes to the increase of this political phenomenon, and its contribution to the cause of poverty, the existence of a substantial gap between the different layers of the population, and the creation of the misconceptions, negative stereotypes, and association of democracy with corruption.

Alternatively, it questions the attractiveness of the region for foreign direct investments, as high corruption rates cause an upsurge in the uncertainty of conducting operations and increases the perception of vulnerability. It remains apparent that these aspects have an adverse influence on the functioning of a countrys society and raise questions about any positive intentions that may or may not be inherent in the actions of governmental authorities, as the egoistic inner-self (or a view to self-interest) has a tendency to dominate.

A number of prevention strategies and tactics were considered in conjunction with identifying factors that have a potential influence on their effectiveness. One of the suggested approaches is the introduction of random checks, as these may have a positive impact on the establishment of new and constructive values in the business culture. In turn, the development of new concepts, such as an emphasis on responsibility, will also contribute to the cultivation of changes in the existing values in business operations. Lastly, a systematic approach implies focusing on different spheres of the problem simultaneously, with an eye to increasing the overall effectiveness of the strategy. It remains apparent that the efficiency of any prevention tactics will be dependent on the ability of governmental authorities to determine the initial reason for the incidence of corruption and bribery.

As for the recommendations to improve the current conditions in Latin America, administrative entities should address the problem from different angles simultaneously, as the core issue lies in the established business culture, as well as the absence of a centrally controlled system to modify existing business practices and social perspectives. It could be said that this systematic strategy could be viewed as a crucial implementation tactic, in part with regard to the changing and progressive nature of the phenomenon and the necessity to affect the principles from different spheres.

In this case, the effectiveness of this approach cannot be underestimated, as it will have a beneficial impact on resolving the issue while decreasing its frequency of occurrence and rate of development. In the end, the role of corruption in the formation of international relationships cannot be underestimated, as it has a vast influence and impact on different spheres of the lives of people in the affected areas. Consequently, based on the aspects revealed above, corruption and bribery as political phenomena have to be eliminated for there to be any hope of enhancing the quality of living in the region, improving organizational structure, and altering social perceptions in a positive direction.

References

Canache, D., & Allison, M. (2005). Perceptions of political corruption in Latin American democracies. Latin American Politics and Society, 47(3), 91-111.

Carballo, A. (2010). Poverty and corruption in Latin America, challenges for a sustainable development strategy. Opera, 10(10), 41-65.

Cuervo-Cazurra, A. (2008). Better the devil you dont know: Types of corruption and FDI in transition economies. Journal of International Management, 14(1), 12-27.

Fletcher, C., & Herrmann, D. (2016). The internationalization of corruption: Scale, impact and countermeasures. London, UK: Routledge.

Gorta, A. (2003). The NSW independent commission against corruptions experience in minimizing corruption. Asian Journal of Political Science, 11(1), 1-21.

Halter, R., Halter, M., & Arruda, M. (2009). Transparency to reduce corruption? Dropping hints to private organizations in Brazil. Journal of Business Ethics, 84(3), 373-385.

Hill, C. (2015). International business: Competing in the global marketplace. Boston, MA: McGraw-Hill Education.

Kriekebaum, H. (2008). Corruption as a moral issue. Social Responsibility Journal, 4(1/2), 82-88.

Krivins, A., & Vilks, A. (2013). Prevention of corruption in public sector: Importance of general legal principles. Jurisprundencija, 20(1), 235-249.

Malan, F., & Smit, B. (2001). Ethics and leadership in business and politics. Lansdowne, India: Juta & Co.

Pinto, J., Leana, C. & Pil, F. (2008). Corrupt organizations or organizations of corrupt individuals? Two types of organizational-level corruption. The Academy of Management Review, 33(3), 685-709.

Rios-Figueroa, J. (2012). Justice system institutions and corruption control: Evidence from Latina America. The Justice System Journal, 33(2), 195.

Transparency International: Corruption perception index. (2015). Web.

Ungar, M. (2013). The rot within: Security and corruption in Latin America. Social Research: An International Quarterly, 80(4), 1187-1212.

Zou, P. (2006). Strategies for minimizing corruption in the construction industry in China. Journal of Construction in Developing Countries, 11(2), 15-29.

A Moderate Approach of Treating Corruption Propositions

Corruption is an integral part of any society; although it sometimes seems useful, corrupt practices have incredibly dire consequences in the future. In prospect, the advantage of a bribe here and now is easily transformed into several problems in the future. The authorities, ready to provide specific services for illegal payment, can entangle a company in a network of corrupt machinations, demanding large bribes in the future. Also, corrupt bureaucrats can quickly thwart a business by helping ones competitors occupy the same niche and taking enormous bribes from them. Consequently, while exploiting corruption for a business may seem like a Machiavellian pragmatic move, it turns out to be a rash move without looking at the consequences.

In the example from the case question, everything looks perfect for making a deal at first glance. However, as mentioned earlier, a bribe is a decision with long-lasting consequences. The fact that corruption is an acceptable measure in the countries represented, which seems like a plus in this situation, is, in fact, only an indicator of future problems. The more corruption is entrenched in the government, the more difficult it is for businesses to exist in conditions of local competition with other corrupt officials. One also must understand that local oligarchs and entrepreneurs will expel foreign companies using a large pool of corrupt levers.

These factors signify significant risks, which means that such a transaction will bring more harm and less than good. Summing up, it should be said that deals with corrupt officials have more problems in the future than advantages presently.

However, giving up expansion is also extremely risky. The solution to this dilemma lies in the middle: in smooth expansion. It would be a good move to test the situation by occupying a niche with a small company branch to increase the staff and assets for some time. Then, if no demands for new bribes come from government officials and the accompanying sabotage of the enterprise, it is safe to expand more steadily and confidently.

This approach is cautious and may seem too slow, but it is the best option available in this case. Thus, the risks will be minimized because the companys branch begins to incur losses and experience difficulties. Its closure will not be as expensive and crushing as if, after a bribe, the company began to finance all the allocated resources at once. As a result, the most optimal strategy for solving the bribery dilemma would be the option of consent but with caution at the beginning of the branchs development.

In summary, despite the prevalence of corruption in any social system, it does not mean that it should be encouraged. Even more so, one should not deceive oneself with its false benefits for their business and work. A bribe always carries grave consequences for everyone: the state, enterprises, and even the corrupt officials themselves. The main problem of this entire system is the very fact of the systematic nature of corruption. This means that everyone who resorts to it becomes involved in further corrupt actions, which is extremely risky for the enterprise. Businesses rarely benefit significantly from engaging in these kinds of adventures.

However, it should be borne in mind that the use of single bribes and a considerable interval between them, balanced analysis of further consequences, and a careful start-up expansion can benefit the company.

Corruption in South Africas Healthcare Sector

Introduction

Corruption is the abuse of power entrusted to an individual or organization for undue financial, physical, or non-physical gains. Sadly, the healthcare sector is susceptible to misappropriation of resources, authority, trust, or power leading to dire consequences (Mackey et al., 2018). Developing countries such as South Africa have massive public fundsillegally pocketed by corrupt politicians, healthcare professionals, administrators, and suppliers (Pillay and Mantzaris, 2017). The impact of such dealings can lead to low quality of care, increased inequality, high levels of error, and the death of innocent patients. Although bribery and misuse of power are rampant in South African healthcare, strategies such as whistle-blowing, transparency and accountability in recruitment, and ethical governance can help curb corruption.

Ways through Which Corruption is perpetrated

Stealing of public funds directly or indirectly by top government officials is rampant. For instance, during the COVID-19 pandemic, there were multiple graft cases of substandard personal protective equipment (PPE), overpricing, and giving tenders to people with government connections (Muvunyi, 2020). A close associate of the president, Khusela Dikos husband, was awarded a $7 million tender (Muvunyi, 2020). Thus, corruption is perpetrated by people using taxpayer money to enrich themselves at the expense of critical healthcare needs.

Bribes are common channels through which corruption is perpetrated and may lead to low healthcare standards. Unscrupulous healthcare professionals can illegal fees or bribes from patients in exchange for faster results or specialized services (Pillay and Mantzaris, 2017). In some cases, the recruitment team can select or promote professionals who give bribes leaving out those that are qualified (Kirya, 2020). Thus, greediness and ignorance of consequences make some people to participate in corrupt dealings.

Measures by South African Healthcare Sector

The South African government has established an ethics and anticorruption authority body which is independent and investigates. For instance, after the report on corrupt dealings in the purchase of PPE different anticorruption groups started to investigate 91 companies that got purchase orders from the ministry of health (Muvunyi, 2020). After the investigations, the listed companies are prosecuted in a court of law and sentenced. If there is justice in the courts it may deter other people from engaging in exhortation practices.

Policies and legislation is the other measure that South Africa can use to minimize the incidences of corruption. For example, in 2004 the legislatures provided the Prevention and Combating of Corrupt Activities Act (Pillay and Mantzaris, 2017). The laws help in coming up with strategies and standard measures for ending corruption. In addition, it outlines procedures to be followed by public hospitals to make it difficult to bribe. For instance, the policy may require the anonymity of applicants during recruitment, criminalize sexual relations at the workplace, and control instances of relatives working within the same companies. Thus, the avenues for engaging in corrupt dealings are limited even for the top officials.

Impact of Corruption on South African Healthcare

Inequality in accessibility and provision of care is an expected consequence of corruption. According to Hsiao et al. (2019), urban areas often attract experienced medics while poor people may be disadvantaged when seeking medical care because of discrimination and finances. The result is that the people in remote regions have a poor quality of care and are unable to get better services because of the geographical distance. Worse still, corrupt politicians may choose to distribute more resources in their home areas leaving other regions underdeveloped.

Loss of life due to avoidable errors and negligence is another consequence of corruption in South Africa. For instance, during the COVID-19 pandemic, many medics were exposed and died from coronavirus (Muvunyi, 2020). Yet, the few people who were given government tenders to supply the materials used the money for personal gains. Patients die in the hands of rogue doctors who bribed their way to get employment. If the physicians are greedy they can sell some vital organs of their poor patients to rich people locally and internationally. The motivation of the good professionals may be derailed and there is a lack of teamwork because of disagreements (Kirya, 2020). The poor work environment leads to poor health outcomes for citizens. Thus, different forms of corruption can be life-threatening to both the medics and their patients.

Effectiveness of Whistle Blowing in the Public Sector

The act of reporting any irregular, illegal, or dangerous practice omitted by a person or organization within the healthcare sector can aid in ending corruption. Whistle-blowing is intentionally providing information by a person who has substantial evidence (Nwoke, 2019). For the report to produce positive results it is essential to report to the right authority. Notably, where the police are corrupt and easily bribed whistle-blowing becomes ineffective. For instance, one woman was murdered after exposing corruption in PPE procurement in South Africa (Botha, 2021). The implication is that whistle-blowing can be dangerous and when there are no mechanisms for protecting the people their lives may be in danger. Therefore, whistle-blowing is only effective when the anti-corruption authority and law enforcers work together to ensure justice while protecting the informer.

Conclusion

Corruption in South African healthcare is rampant and may have life-threatening consequences. The perpetrators are greedy individuals and organizations seeking to gratify their gains. Yet, they cause a lot of harm including inequality, low quality of care, lack of motivation, and death resulting from avoidable errors. The anti-corruption groups have been trying to fight bribery and exhaustion but their progress is slow. The use of legislation may effectively curb corruption when there is justice. However, with the current trend where even the whistle-blowers are endangered corruption remains a puzzle to be solved to realize better healthcare.

Reference List

Botha, M. M. (2021) Whistleblowers are key to fighting corruption in South Africa. It shouldnt be at their peril. The Conversation. Web.

Hsiao, A., Vogt, V., and Quentin, W. (2019) Effect of corruption on perceived difficulties in healthcare access in sub-Saharan Africa, PLOS ONE, 14(8), pp.1-12.

Kirya, M. T. (2020) Promoting anti-corruption, transparency and accountability in the recruitment and promotion of health workers to safeguard health outcomes, Global Health Action, 13(1), pp. 1-7.

Mackey, T. K., Vian, T., and Kohler, J. (2018) The sustainable development goals as a framework to combat health-sector corruption, Bulletin of the World Health Organization, 96(9), pp.634-643.

Muvunyi, F. (2020) South Africas double blow: Corruption and the coronavirus. DW.COM. Web.

Nwoke, U. (2019) Whistle-blowing as a corporate governance mechanism: South Africa and Nigeria in perspective, Journal of Corporate Law Studies, 19(2), 421-450.

Pillay, P. and Mantzaris, E.A.(2017) Corruption in the health sector in South Africa and India: some considerations and reflections, African Journal of Public Affairs, 9(8), pp.48-62.

Oil, Water and Corruption in Central Asian States

The region of Central Asia has been a focus of the worlds political and economic attention due to its rich oil and gas resources. Ever since the 19th century when the natural riches of the area were first detected the region became a target for the dominant powers of the world such as the USSR and, after that  the United States. Some of the largest oil and gas basins are located on the territories of Azerbaijan and Kazakhstan. After the countries of central Asia declared their independence from the USSR in the 1990s, a number of Western companies started to expand to the region, especially in such industries as gas, oil, sport and tourism.

At the same time, there is a resource the region is lacking, this resource is water. The area has scarce natural water supply, and the water that Central Asia possesses is of poor quality. The supply of water is insufficient to fulfill the populations needs for drinking and tap water along with the irrigation of the cotton and rice fields. Cotton is an important industry for the region, and the reduction of income coming from it will harm the whole areas wellbeing.

Corruption is the main curse of Central Asian states such as Kazakhstan, Uzbekistan, Azerbaijan and Turkmenistan. Corruption there is deeply rooted into the mentality is present is a variety of spheres such as politics, economy, social reforming, taxation and transportation.

Corruption has a social context as well since it is a part of lifestyle in the region where con-men, bribery, and theft are taken for granted by the citizens. Corruption there has managed to form a vicious circle and it very difficult to exterminate.

Corruption in Public Administration

Abstract

The research paper identifies the problem of corruption in public administration. Meanwhile, it initially establishes the background of the emergence of corruption in a historical retrospective. Then the key factors of corruption in public administration and its negative consequences are explored. Special attention is devoted to lobbyism, public procurement, medicine, education, and military financing. Moreover, recommendations are also made to eradicate corrupt schemes, such as expanded penalties and registration of funding from third parties. It is also the implementation of electronic tenders and procurements and increased involvement of the societal and interested organizations to investigate corruption cases. Therefore, the studys general objective is to explain the importance of this problem in the public administration sector and to provide solutions.

Introduction

Corruption is a serious threat to the rule of law, democracy, and human rights and is a fundamental problem in public administration. This is because there is not a single country that is not affected by corruption. The corrupt misuse of public office undermines peoples trust in government and institutions and makes public policies less effective and fair. It also robs taxpayers of funds that could have been used to build schools, roads, and hospitals. Meanwhile, the political will to construct solid and transparent institutions has the potential to reverse the wave of corruption. Thus, the origins of corruption in the U.S., the key challenges, and methods to combat it should be examined.

Background on the Issue

Corruption has been a harmful phenomenon since the first civilizations, and written sources emerged. Aristotle argued, the most critical point in any state system is to organize affairs in such a way that officials cannot profit (Peters, 2018, p. 54). Obviously, this issue has always concerned modern people. The young American state was no exception, despite the founding fathers dreams to create a model republic. During the presidency of Jackson, corruption became a permanent topic of partisan accusations (Peters, 2018). However, a significant increase in this phenomenon occurred in the 1850s for several reasons. The annexation of Texas and the speculative frenzy around Texas securities, the active sale of public fund lands in the West, and the booming railroad construction are one of them. There was also a struggle to expand the territory of slavery by pushing through Congress new compromise laws of 1850 and 1854, accompanied by the pursuit of profits through illegal speculation (Peters, 2018). These new phenomena of American life became a breeding ground for corruption at all levels, from the regional to the national.

The situation was complicated by the entrenched practice of distributing government positions and replacing almost all civil servants after the next presidential or local elections (spoils system). The electoral chase transformed into numerous irregularities during election campaigns and the elections themselves (Peters, 2018, p. 32). Whitman correctly criticized bossism, corruption, and political party intrigue in the nomination of presidential candidates. With the election of Democrat James Buchanan to the presidency in 1856, corruption scandals escalated. Members of the administration were named buccaneers by contemporaries for their corruptness (Peters, 2018, p. 64). John Floyd, Secretary of War, Isaac Tosey, Secretary of the Navy, and Howell Cobb, Secretary of the Treasury, were all implicated in illegal transactions. A considerable number of revelatory articles and appeals to fight corruption appeared on the pages of newspapers.

Ordinary Americans increasingly focused their hopes on liberating corruption and solving other problems on the Republican presidential candidate, Abraham Lincoln. Indeed, corruption was not the main and only issue for the country. Nevertheless, press-fueled corruption scandals shaped public opinion in both South and North, which could not but affect the bitterness of the Civil War of 1860-1865 (Peters, 2018). Thus, a study of corruption in U.S. history provides an opportunity to reflect on a number of lessons important to any democracy today. They are that corruption cases should not be silenced but rather subjected to the rigorous judgment of public opinion (Peters, 2018). In the U.S., broad openness and freedom of the press, civil society, political opposition, and mechanisms of public and legislative control provide a real opportunity to overcome corruption.

Presentation of the Importance of the Issue

The most entrenched, already historically global problem is corruption. According to research, in 2015, three in four Americans (75%) perceived corruption as widespread in government (Campos & Giovannoni, 2017, p. 917). In addition, this survey does not consider their personal attitudes toward state and local government. According to the Corruption Perceptions Index (CPI) ranking of countries, the U.S. scored 18th in 2016, along with Hong Kong and Ireland, with a mark of 74 (Campos & Giovannoni, 2017, p. 919). That is, according to this index, corruption in the U.S. is insignificant, which contradicts the opinion of Americans themselves, who consider corruption the second most important problem in the U.S., immediately after unemployment. One of the most common forms of corruption in the United States is lobbyism.

The lobbying technology that emerged from the English Parliaments backstage has become extremely popular in the USA. The first amendment to the Constitution of the USA guarantees the right to freedom of speech and the possibility to address Congress. It was adopted in 1787 and is still the instrument of intervention of big corporations in the law-making processes and the legal guarantee of lobbyist manipulation in the USA (Campos & Giovannoni, 2017, p. 919). According to Sunlight Foundation research, U.S. corporations that invest in lobbying pay proportionately fewer taxes than those that do not contribute to lobbyists.

In the U.S., lobbyists designate themselves in the congressional register and do not hide the amount and people who pay them. An example of the intertwining of political and business interests is the figure of Ahmed Chalabi, head of the Iraqi National Congress, who, in 1998, promoted the Iraqi Liberation Act and lobbied the U.S. government to overthrow Saddam Hussein (Gokcekus & Sonan, 2017). The lobbying company Black, Kelly, Scruggs & Healey, a subsidiary of Burson-Marsteller and a P.R. tool of the U.S. Republican Party, became involved in the process. This activity considered the interests of American oil companies and the military-industrial groups (Gokcekus & Sonan, 2017). Therefore, lobbyism in the USA is a special form of corruption that operates within the law.

It is significant to mention that the U.S. government and its core institutions need to restore citizens trust in their performance. A new Transparency International survey, the U.S. Corruption Barometer, conducted in 2017 indicates that 44% of Americans consider corruption to be prevalent in the White House, compared to 36% in 2016 (Goldberg, 2018, p. 197). Meanwhile, about a third of African Americans surveyed believe the police are corrupt. Such assessments indicate that citizens are more critical of the fight against corruption in the public sector. Nearly 7 out of 10 people in the polls noted that the governments efforts were minimal (Goldberg, 2018, p. 198). Hence, this demonstrates the distrust of U.S. citizens in public administration. 

Data from Surveys on Confidence in Government
Figure 1: Data from Surveys on Confidence in Government

The significance of this problem also depends on the fact that corruption manifests itself in different ways in various areas of the public sector. For example, corruption schemes in the security and defense spheres may include patronage and bribes to ensure the purchase of military equipment from a certain company (Liu et al., 2017). Thus, the negative influence of this will be directed at the military, which means that soldiers may receive substandard food, clothing, or equipment. Another example of corruption in public administration can be noticed in health care. This can refer to kickbacks that patients have to pay to their doctors or the misuse of health care funds by civil servants and physicians.

In other words, confidence between patients and doctors disappears, and some groups cannot receive quality care due to a lack of funds. In education, corruption occurs when teachers demand bribes from their students during exams or modules (Liu et al., 2017). The public damage is that the overall quality of education is deteriorating. Common corruption schemes in the police and judicial system include manipulating cases and evidence by the police. Additionally, judicial decisions made to satisfy a privileged party are one manifestation of public corruption (Liu et al., 2017). All these corrupt schemes in government agencies lead to peoples frustration, distinction, and conflict.

The Impact of Corruption in Public Administration on Education 
Figure 2: The Impact of Corruption in Public Administration on Education 

Discussion and Recommendation for the Solution

It is significant to remark that the fight against corruption is constantly discussed at the highest levels of government. The reduction of corruption schemes in public administration is facilitated by the fact that in the U.S., there is virtually no immunity for officials (Andersson & Anechiarico, 2019). Any official, including the president, members of Congress, and senators, can be criminally prosecuted, albeit especially after removal from office. Thus, it is essential to promote the activities of a number of non-governmental organizations, such as Judicial Watch, Global Integrity, Projection on Government Oversight, and the Government Accountability Project (Andersson & Anechiarico, 2019). Accordingly, the organizations monitor donations to the election campaigns of politicians. Thus, they can report on what interests and spheres of influence certain politicians may have lobbied for.

The second most fundamental area of anti-corruption strategy in the U.S. is preventing corruption in the civil service. It is based on the introduction of the so-called administrative morality, which represents ethical and disciplinary norms; as a result, it has to be enhanced (Ceschel et al., 2022). The enforcement of these regulations is monitored by specially appointed persons in any government office or department. However, such verification takes a long time, and the fact that civil servants verify the integrity of other public servants may lead to increased corruption in government. Accordingly, it is crucial to involve ordinary citizens in such commissions and departments for them to assess possible violations of laws objectively.

Additionally, in this context, it should be mentioned that for an official, the consequences of being found to have committed violations can be expressed through applying one of the following penalties. These penalties include partial or total disqualification, relocation to a lower position, and an offer to terminate conflicting financial relationships (Doshi & Ranganathan, 2019). Only in the case of serious violations can criminal liability be imposed. Although to eliminate even the most minor forms of corrupt acts, it is possible to increase the penalties. For example, to introduce a norm, according to which officials have to compensate the damage in the double amount in case of participation in a corrupt scheme for the purpose of enrichment (Doshi & Ranganathan, 2019). Furthermore, engaging in corrupt acts in the public administration sector harms not only the interests of a particular area directly but also the welfare of all U.S. citizens. Accordingly, such officials should be excluded from public service without the right to be employed by the government or to participate in elections.

Moreover, to eradicate corruption in public administration, it is essential to apply such measures. Firstly, it is necessary to prohibit public officials for five years after their resignation from working in a company they control while in public service. For instance, an official dealing with medical issues and tenders cannot work in the companies involved in them for a set period (Sulitzeanu-Kenan et al., 2022). Correspondingly, such a rule increased the probability of exposing corrupt schemes and would simultaneously be a warning to officials about their involvement. In addition, compliance with new challenges in view of changing technology and opportunities for unscrupulous actions. The focus should be on high-risk areas such as procurement, revenue administration and natural resource management, and effective internal controls. For example, electric procurement systems can serve as massive tools to curb corruption by improving transparency and competition (Sulitzeanu-Kenan et al., 2022). It is also required to introduce changes in public administration policy in order to reduce the influence of the phenomenon of lobbyism.

First, lobbyist fundraising should be banned to minimize the risk of a corrupt scheme in which people with special interests buy favorable treatment from party members. Second, it is essential to prohibit members of Congress from receiving contributions from industries and groups under the jurisdiction of their committees. This will reduce the risk of conflicts and non-conflicts when crucial government decisions are made (Peters et al., 2021). This is because lawmakers will not be dependent on the funds of groups of influential individuals but will be empowered to work for the good of the American people. Expanding the disclosure of lobbying activities and their registration is also crucial. This will allow the public to understand who is spending money to attempt to influence the government.

Conclusion

Therefore, the flourishing of corruption in the government is one of the leading causes of ineffective public administration. In the United States, this manifests itself in the form of lobbying and the creation of illegal schemes in various areas in order to benefit. Accordingly, bribery or lobbying of interests provokes adverse consequences, affecting the tenders, competitions, and decisions of politicians. That is, critical areas such as health care, education, and national defense may not receive funding or receive poor-quality provisions. This affects the overall standard of living and conditions for all citizens, which is why it is necessary to fight corruption in public administration effectively. One way is to use electronic systems, register funds from third parties, or ban contributions. Meanwhile, it is essential to increase penalties for corrupt officials and impose restrictions on employment for former high-ranking officials.

References

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