dishonesty especially bribery and putrefaction. Corruption is defined as the abuse of public office for private gains. It involves the seeking or extraction of promise or receipt of a gift or any other advantage by a public servant in consideration of the performance or omission of an act, in violation of the duty required of the office. Corruption can be termed a two way traffic as it involves members of both public and private sectors, or a giver and a taker who are engaged in illegal, illegitimate and unethical the misappropriation and embezzlement by a public servant in spending public money is also called corruption where there no involvement of a private person. The formula of the corruption given by Prof.Robert klitgaard is: C=M+DA M shows monopoly, D shows discretion and A shows accountability.
Corruption takes a variety of forms i.e. bribery, nepotism,
patronage, theft of states assets, evasion of taxes diversion of revenue and electoral fraud. Corruption impedes economic growth discourages foreign investment and in habits access to vital public services it also undermines the effectiveness of international aid. The effects and impacts of not controlling this menace are quiet damaging in developing countries of the world because it hearts the poorer segments of society disproportionately. In Pakistani society, the two major types of prevalent corruption are: petty corruption and grand corruption. The common man of the country encounters petty corruption in his everyday dealings in almost all public sector offices. The transparency international Pakistan (TIP) in his report has raised Pakistan`s rank in corruption index from 42 to 33 in an overall ranking of 176 countries of the world. It has further pointed out that corruption level reached their peak during 2012 the chairman of the TIP has identified corruption as the major cause of poverty, illiteracy, terrorism ,shortage of electricity and lack of governance in Pakistan the national corruption perception survey 2010 clearly depicts that the overall corruption in 2010 increased from Rs. 195 billion in 2009 to Rs. 223 billion in 2010 and 70 percent Pakistanis stated that present government is more corrupt than previous government. Corruption in Pakistan has afflicted every organ of the state. The NAB chief as estimated that the corruption in Pakistan to be around 10 to 12 billion a day. Some of the main reasons of corruption in Pakistan are unregulated land awards, the inefficient public sector, drug money, foreign aid and informal structure of Pakistan economy. By: Abdul Rehman BSC (Hons) Economics Semester 4th Roll No:645-BH-13