ABSTRACT

This chapter reviews the various definitions of the rule of law and discusses the positive and normative views of the law. The importance of the rule of law for good governance is clear. Many people believe that "big government" fuels greater public corruption. Problems of corruption in government are not new. Most definitions of corruption emphasize the abuse of public power or position for personal advantage. Political corruption differs in intent and effect from economic corruption. Corruption has not always been seen as having a negative impact on the economy or society. Corruption leads to increasing income inequality in every type of country, but does not appear to affect significantly economic growth in high-income democracies. In a few countries, the source of corruption is plain: the public moneys are simply taken by the ruling elite for their personal use. Corruption can also occur in covert and roundabout ways that do not formally violate laws or regulations.