As the European Union moved in the 1990s to a unified market and
stronger common institutions, most observers assumed that the
changes would reduce corruption. Aspects of the stronger EU
promised to preclude or at least reduce malfeasance: regulatory
harmonization, freer trade, and privatization of publicly owned
enterprises. Market efficiencies would render corrupt practices
more visible and less common.
In The Best System Money Can Buy, Carolyn M. Warner
systematically and often entertainingly gives the lie to these
assumptions and provides a framework for understanding the
persistence of corruption in the Western states of the EU. In
compelling case studies, she shows that under certain conditions,
politicians and firms across Europe, chose to counter the increased
competition they faced due to liberal markets and political reforms
by resorting to corruption. More elections have made ever-larger
funding demands on political parties; privatization has proved to
be a theme park for economic crime and party profit; firms and
politicians collude in many areas where EU harmonization has
resulted in a net reduction in law-enforcement powers; and
state-led "export promotion" efforts, especially in the armaments,
infrastructure, and energy sectors, have virtually
institutionalized bribery.
The assumptions that corruption and modernity are incompatible
or that Western Europe is somehow immune to corruption simply do
not hold, as Warner conveys through colorful analyses of scandals
in which large corporations, politicians, and bureaucrats engage in
criminal activity in order to facilitate mergers and block
competition, and in which officials accept private payments for
public services rendered. At the same time, the book shows the
extent to which corruption is driven by the very economic and
political reforms thought to decrease it."
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