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what is the impact of corruption at organizational level

Asked by: Deepthi 570 days ago - 1 Answers - 3094 views

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Corruption is found to be one of the most harmful penalty of poor governance characterized by lack of both clearness and responsibility. Corruption at the organisation’s level lowers investment and hinders economic growth, and human development by limiting access to basic social services as well as increasing the cost of their delivery. It also increases poverty, subverts the financial system,, and undermines the legality of the state. Thus, corruption is anti-poor, antidevelopment, anti-growth, anti-investment, and inequitable. The cost of corruption to a nation is very high. Adverse effects of corruption on growth have been statistically corroborated from cross-country data. Based on the corruption rankings data assembled from the business and international communities in seventy countries finds a significant negative association between the Corruption Index and the rates of investment and economic growth. A one standard deviation improvement in the Corruption Index is estimated to be associated with an increase in the investment rate by about 3 percent of the Gross Domestic Product.

Answer by Pranav Anand 515 days ago

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