What do you think? If corruption is an easy and efficient way to make a profit, then in a capitalist...?

Question

If corruption is an easy and efficient way to make a profit, then in a capitalist system corruption exists unless proven otherwise - particularly if "extreme profits" are being made.

What do you think?

Answer 1

Go to countries such as the Philippines, and you'll find how corruption affects every fiber of society, including business. Try as they might to stop corruption, it has been so ingrained in the system that it is so hard to fight it

Take for example a bridge project

On paper, the plan and budget approved was for a 4 lane bridge say for $100 million

But corruption kicks in. The mayor wants a cut. The guys in the Department of Public Works wants a cut. The middleman wants a cut.

The result is a 2 lane bridge for $200 million -- with about half going into the pockets of corrupt officials

So is it profitable? YOU BET -- but only for the politicians. Not for the business owners who must pay for these additional expenses as pay off to corrupt officials.

Corruption makes the cost of doing business more expensive. It is not ideal for businesses. That's why countries known to have high corruption such as the Philippines find it difficult to attract foreign investments because investors know that their costs is so much higher.