ECON213 Lecture Notes - Lecture 6: Suharto, Police Corruption
19 Jun 2016
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Document Summary
Corruption is a huge problem in the developing countries, yet it was hardly mentioned until recently. (nothing in a 3,047 page handbook!!) Oops, not corruption, no, we have problems with governance! . Police corruption is very common, ranging from local shakedowns to complicity in drug cartels and other criminal activity. Corruption seems endemic across cultures, religions, continents, etc . Japan, ecuador, india, phillipines, nigeria, zimbabwe, zaire (congo). Diversion if taxes/fees coming in and spending going out) Decentralized corruption means disorganized, every crook for him or herself they all plunder without regard for the plundering of others, creating a common property problem this is the worst thing for growth. Centralized corruption has a structure imposed from the top, with the bosses allocating the spoils across the government/party/its friends, etc. It may well be more efficient, by not taking too much, but is often also part of a more terrifying government, the one that makes its enemies disappear in the night.
