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eKonferencije.com: THE IMPORTANCE OF CORRUPTION SUPPRESSION FOR APROACHING BOSNIA AND HERZEGOVINA TO THE EUROPEAN UNION

THE IMPORTANCE OF CORRUPTION SUPPRESSION FOR APROACHING BOSNIA AND HERZEGOVINA TO THE EUROPEAN UNION

1. Tajana Serdar, Ekonomski fakultet Univerziteta u Banjoj Luci, Republic of Srpska, Bosnia and Herzegovina

Historically, the corruption phenomenon was observed in all human societies from the time immemorial, but economic science has recently begun to deal with this problem seriously. Corruption exists if there is a deliberate distortion of the impartiality principle in decision making process in order to appropriate some benefits. In other words, corruption can be defined as abuse of public power for private gains realization. Corruption is not crucially related to the character of the people in certain region, but it is primarily system creation. Economic system based on greater economic freedom and lower degree of economic activity control is followed by lower level of coruption. Greater interventionism in economy results in higher level of corruption. Therefore, developing countries should establish liberalization of the economy, in order to approach the corruption level that exists in European Union.
According to the mechanisms of corruption and its economic consequences, it is possible to identify several types of corruption:
 Corruption that enables the application of regulations (laws), so-called corruption without theft;
 Corruption that allows circumvention or violation of regulations (laws), so-called corruption with theft;
 Corruption that brings modifications in the existing and creates new regulation (law) or political corruption.
An important issue when considering problem of corruption is difference between centralised and decentralised corruption. It is often considered that decentralised corruption (basic concept: honest government and several corrupted officers) is represented in democratic and developed market economies. More pernicious centralised corruption implies a monopolly in the market of corruption. This type of corruption is a limiting characteric and particularly difficult problem in developing countries.
Obviously, corruption will never be completely eradicated. A certain level of corruption is inevitable in any society. In order to eliminate sources of this negative activity in developing countries, such as Bosnia and Herzegovina, it is necessary to revitalize assumptions of market economy: private property, economic freedom, individual entrepreneurship, open market and competition. New legal and institutional framework based on mentioned conditions including principle of transpartency, is the best way to prevent and suppress corruption to the minimal level.

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Uvodni rad: Da

Datum: 19.09.2011.

Br. otvaranja: 583

REDETE 2011

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