The effects of kick backing to the economy

[Starmix]

Kickbacks can significantly harm the economy by distorting markets, undermining competition, and eroding public trust. They lead to inefficient resource allocation and can deter investment and economic growth. Kickback schemes can cause governments to allocate public funds based on personal gain rather than public need.

In countries with rampant kickbacks international aid can be siphoned off by corrupt officials, preventing the funds from reaching intended beneficiaries. Widespread kickback and corruption contribute to a culture of tax evasion, further deleting resources available for public spending.

Countries perceived as highly corrupt tend to attract less foreign direct investment, as investors are wary of the additional costs and risks associated with corruption.

 

[gwolf666]

From my perspective, kickbacks represent one of the most damaging forms of corruption affecting any country. They not only distort markets and reduce competition, but also generate widespread distrust in public and private institutions. When public resources are diverted for personal gain, social priorities are sidelined, hindering development and investment in key areas such as health, education, and infrastructure. Furthermore, in countries where corruption is rampant, money intended for international aid often disappears into private pockets instead of benefiting those who need it most. This fosters a culture of tax evasion and discourages foreign investment, limiting long-term economic growth. Ultimately, corruption and kickbacks are obstacles that must be overcome to achieve sustainable development and a more just and transparent society.

 

[Starmix]

When kickback is ongoing in a certain company, most likely, the workers are not happy. They can also sense what's going on, why they are not promoted, and salaries are not increased. The minds of the workers will tell them that the money allotted for their increase is kickbacked by the manager.