Which of the Following Stands True of Corruption

question 51

Multiple Choice

Which of the following stands true of corruption?

• A)Payment of money or gifts in order to receive a government service or benefit is a widespread practice only in less-developed countries.
• B)Corruption reduces growth most directly through government investment in projects with high productivity.
• C)Corrupt governments spend less on capital goods than governments that are less corrupt.
• D)The more competitive a country's markets are, the fewer the opportunities for corruption.
• E)Private investment is relatively higher in countries in which government expenditure is very high.

---

Definitions:

Market Competition

The rivalry between businesses to attract customers and achieve higher sales and market share.

Monopoly Power

The exclusive control by one company over the entire supply of goods or services in a particular market or industry.

Relevant Market

The market in which a particular product or service competes, considering factors like geography, product substitutability, and consumer preferences.

Market Division

An illegal agreement between competitors to split a market into sections where each party restricts its operations to certain geographic areas or customer segments, to reduce competition.