Corruption and Poverty
Corruption is somewhat like HIV/AIDS when it comes to poverty - it is difficult to tell which causes which. In the end, as with AIDS, it is a combination of both: people are more likely to fall into poverty because of corruption, and corruption deepens the poverty that impoverished people are living in.
In the news, most corruption cases involve large sums of money, and the government officials invovled are generally very high-ranking. While this type of corruption - 'grand corruption' - is a problem in developing countries (it takes money away from public service projects such as medical clinics, food programs, and schools that would otherwise benefit the poor), impoverished individuals are most affected by corruption on a smaller scale - 'petty corruption.'
This type of corruption occurs on a very local level, and usually small things: bribes to policemen to keep a roadside stand open, or a 'fee' that comes up while applying for a free driver's license. While the amount of money involved is generally very small, many poor people cannot afford to pay, driving them deeper and deeper into debt and poverty.
Another problem is that the corrupt officials (such as a policeman taking bribes) are often not all that bad. In many developing countries, especially in Southeast Asia and Eastern Europe, bribes are the only way to accomplish anything. Also, many people accepting bribes must do so because their base salary is not enough for them to support themselves and their family. It is interesting to think about ways to curb corruption in places where it has such a foothold - where corruption is a way of life.

2 Comments:
I'm less willing than you seem to be to let petty corrupt officials off the hook for soliciting bribes. I suspect complacency is at the heart of a lot of corruption in third-world countries. At work is a sense that this is simply how we do business--always have, always will. Somewhere, though, I read that the use of public "report cards" that expose corrupt practices are having an impact in poor countries such as Bangladesh. By shining a glaring light on corrupt behavior, these consumer reports help shame and pressure officials and governments into behaving properly.
In Bangladesh, if corruption could be stopped, per capita income would be more than double and total value of corruption is more than total foreign aid received per unit time. Thats why it is believed that in Bangladesh we could survive without foreign aid if we could stop corruption and manage our own resources.
Corruption is so deep rooted there, sometimes it seems like,only way to control it is having a patriotic, committed, benevolent Dictator, who can force people behave responsible way and make system work. And probably can lead the country to be worthy of democracy someday.
Countries like Singapore and Maloyasia, without proper democracy are prospering under able leadership.
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