CORRUPTION IN INDIA

What is corruption?

Corruption is suitably punished in other countries, but that is not the case in India, as there is no specific punishment for any Corruption. Corruption is an offence that not ruins lives but ruins families as well because once a person gets habituated to it no one but themselves can stop them from it.

Impact of corruption

Loss of credibility:- In a study on bribery and corruption in India conducted in 2013^[45] by global professional services firm Ernst & Young (EY), a majority of the survey respondents from PE firms said that a company operating in a sector which is perceived as highly corrupt may lose ground when it comes to fair valuation of its business, as investors bargain hard and factor in the cost of corruption at the time of transaction.

 

Economic losses: - corruption may lead to further bureaucratic delay and inefficiency if corrupt bureaucrats introduce red tape in order to extort more bribes.^[101] Such inadequacies in institutional efficiency could affect growth indirectly by lowering the private marginal product of capital and investment rate.^[102] Levine and Relent showed that investment rate is a robust determinant of economic growth.^[10