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Introduction

Corruption is an issue which plagues the global market. Through extortion and criminal activities, billions of dollars go missing, finding their way into the pockets of a few individuals. Transparency International is an organization concerned with corruption. Since 1995 They have compiled a list of the most corrupt countries. Developing an index of corruption, they have ranked countries in the world and given them a score from 0-100; with 0 being the most corrupt and 100 being the most clean. At the very bottom of this list one sees war-torn regions and dictator regimes, primarily underdeveloped nations. Yet if one looks closely you can see that many of these countries share a common trait; large quantities of natural resources, such as oil and natural gas.

This paper will outline a model that links energy-rich nations with higher circumstances of corruption. The idea behind this theory is as follows; large quantities of these valuable resources lead to an increased threat of corruption. Resources discovered in these countries present valuable opportunities for individuals to capitalize on the situation and make a profit. In many cases this could lead to corruption in the government as politicians and bureaucrats attempt to join in on the wealth, allowing for these crimes to go unnoticed.

Frequent studies have shown that the oil, gas, and mining industries account for the most global corruption. Companies within these industries were more frequently linked to bribery than any other industry. Moreover, these industries were linked to cases of "state capture;" in which they attempted to influence government regulations, rules, and decision making by paying off public officials. In many cases in the U.S oil compani...

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Nigeria: Pre-Oil

Nigeria was colonized by the British in the 19th century, during this time it was. This marked by control by an international bourgeoisie; composed primarily the British with help from European Christian missions and monopoly trading firms in the area. These groups established military control with emphasis on capital production. These authorities presided over a corrupt system of accumulation, which focused on the appropriation of huge surpluses of resources from Nigerian peasants and producers to the city; on unequal terms of trade. They further exploited the country through paying workers below subsistence wages, excessive taxation, and owning exclusive monopoly rights over the natural resources of the country. This crisis of accumulation created a society where the only jobs open to black Nigerians were low paying, subordinate, ones.