A Comparison between Corruption and Smuggling: Which One Is Worse?

Khandokar Istiak
2018 Theoretical Economics Letters  
Corruption is a universal issue for almost all developing and underdeveloped countries. It is considered as one of the most important reasons that hamper economic growth. I follow a simple graphical approach to show the dreadful economic impact of corruption on the economy. I compare two evils, corruption with smuggling, and find that the welfare cost of corruption is higher than that of smuggling. I suggest merit-based recruitment of government officers and an independent judicial system to eradicate corruption from the economy.
doi:10.4236/tel.2018.82011 fatcat:s455elx6fjgzzkkzs6qhlhov5q