2. LITERATURE REVIEW
The body of theoretical and empirical research that objectively addresses
the problem of corruption has grown considerably in recent years ( Elliot 1997,
Coolidge and Rose-Ackerman 1997, Gandhi 1998, Gill 1998, Girling 1997, HDC
1999, Kaufmann and Sachs 1998, Mauro 1995, Paul and Guhan 1997, Shleifer
and Vishnay 1998, Stapenhurst and Kpundeh 1998, Vittal 1999, World Bank
1997). A preliminary analysis of the literature shows that corruption in India and
elsewhere is recognized as a complex phenomenon, as the consequence of
more deep seated problems of policy distortion, institutional incentives and
governance. It thus cannot be addressed by simple legal acts proscribing
corruption. The reason is that, particularly in India, the judiciary, legal
enforcement institutions, police and such other legal bodies cannot be relied
upon, as the rule of law is often fragile, and thus can be turned in their favour by
corrupt interests.
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