Impact Of Corruption On Economic Development

Guruansh Jagwani & Nakul Choudhary, BBA LLB (Hons.), Manav Rachna University (Faridabad, Haryana)

ABSTRACT

Corruption is a cancer; a cancer that eats away at a citizen's faith in democracy diminishes the instinct for innovation and creativity1. Corruption is a threat and multi-faceted challenge for the society, its on-going nature can affect the economic stability of a nation. It becomes necessary to understand the pressing issues of corruption on economy.

This paper states the relationship between corruption and the economic development of a country. The impact of corruption on economic development is examined in this study through the use of theoretical frameworks, empirical research, and historical analysis. The study showcases how corruption hampers the economic progress of a society and increases the inequalities2. The research paper also discusses the theoretical foundation of corruption, while emphasizing the importance of a transparent and strong government to fight against corruption. The study tries to understand research designs and data analysis procedures and used it to make it methodologically sound. Additionally, the study also observed that there is a direct need to improve responsibility for sustainable development, strengthen governance, and boost transparency. The paper is concluded by outlining its major observations, and drawing potential directions for further investigation.

Keywords: Economic Development, Corruption, Empirical Analysis, Historical Analysis, Transparency, Sustainable development.