How does corruption in politics affect economic development? 🔊
Corruption in politics adversely affects economic development by undermining trust in government institutions and deterring both domestic and foreign investment. Corruption diverts resources from essential public services, leading to inefficiencies and exacerbating income inequality. It creates an unstable business environment, increasing the cost of doing business and hindering economic growth. Furthermore, corruption can weaken the rule of law and democratic accountability, leading to long-term adverse outcomes for societal progress and sustainable development.
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