Econ Final of Question and Answer Over Global Issues
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Corruption is still a major issue around the world. It affects business practices; it can infect all forms of government and knows no economic distinction. Although, most of the time it is a national matter, it usually bears international consequences. Briefly please describe the four forms of corruption and give a global example to each form of corruption.
1.) Petty Corruption is a public and private agent agreeing on exchanging the access to the service for money, a gift, or the promise of a future favor. When a government official requires a small business to pay a bribe or they will shut down there operations. This occurs in many low income countries and makes it difficult for small businesses to compete and in turn costs the nation jobs and GDP. This in result lowers the worlds GDP as a whole.
2.) Administrative corruption is the institutionalized abuse of public resources by civil servants. This is a major problem in many developing countries such as Afghanistan, Bangladesh, and India as leaders will use resources meant to improve infrastructure, provide benefits, and much more for their own personal use such as travel, restaurant bills, and much more. This makes it difficult for these countries to improve conditions for their people and in turn raises inequality throughout the world.
3.) Corporate Corruption is committed by a corporation or an individual acting on behalf of a corporation. Bribery of public officials, commercial bribery, embezzlement, accounting fraud, and manipulation of the stock market are some examples of corporate corruption. Enron is an example of corporate corruption that occurred in the U.S but had a global impact as anybody who had invested in Enron lost vasts amount of money and Enron was a glob...
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...ture, public and community housing, solar hot water rebates, small and general business tax breaks for purchases of equipment and one-off payments to working Australian families with school-age children.
China implemented a $586 billion stimulus package to upgrade infrastructure, land reform and toward social welfare projects. The European Union also introduced huge stimulus plans in 2008-2009 and lowered interest rates. Similar to the United States they extended their unemployment benefits and tax cuts. For many European countries such as Greece and Spain the future continues to look bleak even with these policies; however countries such as Germany responded well and are in solid economic condition.
Countries need to work together to avoid another global crisis like the one in 2008 as we can no longer simply worry about our own nation as we are now a global economy.