Baker Hughes Research Paper
SUBJECT: Baker Hughes - Foreign Corrupt Practices Act CG-18
Economic and Social Impact
The economic impact of bribes in emerging economies “can increase the cost of a project by 10 percent,”1 and distorts public expenditure. Corruption can also be a contributing factor “to economic and political unrest by exacerbating income inequality, resulting in the denial of fundamental human rights for many citizens.” 2 Corruption and bribes lead to an unfair playing field for honest companies, and good people in face lose business.
Bribery
The “optimal” amount of bribery should be zero, except for the fact the FCPA allows for facilitating payments that are “generally assumed to be payments of less than a few hundred dollars.”3 In a perfect
Economic and Social Impact
The economic impact of bribes in emerging economies “can increase the cost of a project by 10 percent,”1 and distorts public expenditure. Corruption can also be a contributing factor “to economic and political unrest by exacerbating income inequality, resulting in the denial of fundamental human rights for many citizens.” 2 Corruption and bribes lead to an unfair playing field for honest companies, and good people in face lose business.
Bribery
The “optimal” amount of bribery should be zero, except for the fact the FCPA allows for facilitating payments that are “generally assumed to be payments of less than a few hundred dollars.”3 In a perfect