Related to the Economic in Practice on page 707: Corruption often leads to more efficient firms producing the goods and services in a society.

Question

Quizplus · Accepted Answer

Corruption creates an uneven playing field, where less efficient firms may lose out to those who pay bribes or engage in other corrupt practices. This can ultimately lead to a situation where the most efficient firms are not the ones producing goods and services, but rather those who are willing to pay bribes or engage in other corrupt activities. Overall, corruption tends to have a negative impact on economic growth and development, rather than a positive one.

Related to the Economic in Practice on Page 707: Corruption