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Corruption directly results in inefficient systems.

Consider a road from A to B. Ideally you would want a strait line, but if someone owns land that would benefit from being near a road then you just bend the path a little and suddenly his land is worth more. As long as the person drawing that line has more to gain from bribes than an efficient road you are going to build a lot of odd looking roads. Taken to the extreme and you get roads that are less useful and more costly to build and maintain because they are longer.



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