� Corruption may include many activities including bribery and embezzlement, though it may also involve practices that are legal in many countries. An important question deals with the sources of corruption: where does it come from, what are the factors that have nourished it and turned it into such a powerful impediment to sustainable economic development?
� Economists seem to agree that an important source of corruption stems from the distributional attributes of the state. For better or for worse, the role of the state in the economy has expanded in a major way over the past century. In 1913 the 13 largest economies in the world, accounting for the bulk of global economic output, had an average expenditure ratio in relation to GDP of around 12%. This ratio had risen to 43% by 1990, with many countries’ ratios well in excess of 50%. This rise was associated with the proliferation of benefits under state control and also in the various ways in which the state imposes costs on society. While a larger state need not necessarily be associated with higher levels of corruptionthe Nordic countries illustrate this-it is the case that the larger the number of interactions between officials and private citizens, the larger the number of opportunities in which the latter may wish to illegally pay for benefits to which they are not entitled, or avoid responsibilities or costs for which they bear an obligation.
� Governing often translates into the issuing of licenses and permits. From the cradle to the grave, the average citizen has to enter into transactions with some government office or bureaucrat to obtain a birth certificate, to open up a new business, to drive a car, to register property, to hire an employee, to be allowed to build a house, among countless others. The greater the extent of bureaucracy and red tape, the greater is the incidence of corruption. The tax system itself is often a source of corruption, particularly in those cases where the underlying legislation is unclear or otherwise difficult to understand, presumably giving tax inspectors & auditors considerable leeway in interpretation. Unclear tax laws will give rise to unwholesome ‘compromises’ between tax inspectors and taxpayers. More generally, there are numerous ways in which various features of government organization and policy create incentives for the emergence of corrupt behaviour.
� Some bribes are offered as incentive payments for bureaucrats. These can take a variety of forms, such as ‘speed money’, ubiquitous in many parts of the world, and typically used to ‘facilitate’ some transaction, to jump the queue, and so on. Some economists have argued that this could improve efficiency since incentives are provided to work more quickly and those who value their time highly can move faster. Far from being a way to enhance efficiency, paying bribes preserves and strengthens the bribery machinery
1. Which of following best describes the title for the above passage?
1. Intrusion of corruption in the life of common man
2. Various views of economists towards prevalence of corruption in society
3. Bureaucracy and governance structure paving way for corruption
4. Bureaucracy and licensing leading to emergence of corrupt behaviour
5. Analysis of sources and application of corrupt practices
2. According to the author, what has contributed the most towards the rise of corruption?
1. Allocation and apportionment system of states
2. Distribution of resources to various states
3. Economic development status of various states
4. The industrialization level of the states
5. The government interference in various states
3. How is a tax system responsible for the corruption?
1. Ignorance of rules contributes to people paying incentives to get the work done easily.
2. Compromises are made due to the urgent need of the defaulter to get the work done.
3. Tax inspectors use their position to issue licenses to extract unwanted taxes from people.
4. Ambiguity in rules leads to settlement of issues in unethical ways.
5. The large numbers of taxes help the citizens to avoid the responsibilities, which they are compelled to fulfil.
4. What does the author try to say through the example of Nordic countries?
1. The number of opportunities available to the private citizens affects the level of corruption.
2. The larger the number of benefits available, the lesser is the level of corruption.
3. The number of transactions rather than size of states determine the level of corruption.
4. The level of corruption is highly dependent on the size of respective states.
5. The states with larger number of officials are more likely to be troubled by corruption.
5. In what way is the corruption through bureaucracy different from that through tax system?
1. Bureaucrats do not ask for direct bribe whereas the tax inspectors do.
2. ‘Speed money’, used in bureaucracy, is secure whereas ‘compromise’, used in tax system, is unsecure.
3. Corruption in bureaucracy is affected by leaders whereas it is affected by officers in tax system.
4. Bureaucracy facilitates whereas tax system harasses the people to get money.
5. Corruption takes the form of incentive in bureaucracy and that of a compromise in tax system.
6. What reason does the author state for anyone paying bribe?
1. For registering property or driving car
2. For acquiring benefits or evading the costs
3. For getting privileges to show supremacy
4. For getting out of a situation where there is no other option
5. For assisting the bureaucrats in their speed
7. Which of the following statements is/are correct according to the passage?
I. According to some economists, bribery can help improve efficiency.
II. Average expenditure ratio in relation to GDP, for the largest economies in 1990, was 12%.
III. Corruption comprises the activities of bribery but not of embezzlement.
1. Only I
2. Only II
3. Only III
4. Both I and II
5. Both II and III
8. What does the author convey by using the phrase ‘From the cradle to the grave’ in the third paragraph?
1. He alludes to the various activities or transactions that are affected by the menace of corruption in the country.
2. He criticises the level of corruption in government offices while issuing licenses and permits to various bureaucrats.
3. He refers to the extent of red-tapism in the country and the problems faced by the bureaucracy.
4. He hints at the suffering a common man has to undergo during his lifetime due to ambiguity in legislation.
5. He points to the scope of corruption possible during the different phases of a man’s life.
9. Directions: From the given pairs, choose the one that represents the closest synonym and the closest antonym of the word given in bold, as used in the passage. Leeway
A. Authority
B. Autonomy
C. Impediment
D. Restriction
E. Stipulation
1. A – C
2. B – D
3. E – A
4. C – D
5. E – B
10. Directions: From the given pairs, choose the one that represents the closest synonym and the closest antonym of the word given in bold, as used in the passage. Ubiquitous
A. Pervasive
B. Rampant
C. Insufficient
D. Familiar E. Rare
1. A – E
2. B – C
3. D – A
4. B – E
5. C – D
Directions(11-15): Rearrange the following six sentences (A), (B), (C), (D), (E) and (F) in the proper sequence to form a meaningful paragraph; then answer the question given below them.
A. Ironically, the same parents who are considered to be ignorant are thought to be very enlightened in choosing private schools over state-run ones.
B. This is all the more reason why we should include them during the planning and implementation of the system.
C. This is apparent at every stage from policy making to implementation as critical decisions are made without the participation of the stakeholders, an attitude that can only be described as either arrogance or indifference.
D. In reality, every parent decides which school is a good one, based on his/her own set of values, perceptions and aspirations.
E. The root cause of most of the ills that plague our education system is the enormous distance that separates the power centres within the system and the schools where the action takes place.
F. It is often said in defense of such an approach that poor parents are too ignorant to be partners in a meaningful dialogue.
11. Which of the following should be the SIXTH (LAST) sentence after rearrangement?
1. A
2. B
3. C
4. D
5. E
12. Which of the following should be the THIRD sentence after rearrangement?
1. A
2. B
3. C
4. D
5. F
13. Which of the following should be the SECOND sentence after rearrangement?
1. F
2. D
3. C
4. E
5. A
14. Which of the following should be the FIRST sentence after rearrangement?
1. A
2. B
3. C
4. D
5. E
15. Which of the following should be the FOURTH sentence after rearrangement?
1. E
2. D
3. C
4. B
5. A
Directions(16-20): The sentence below has one or two blanks, each blank indicating that something has been omitted. Beneath the sentence are five words or sets of words labeled (1) to (5). Choose the word or set of words that, when inserted in the sentence, best fits the meaning of the sentence as a whole.
16. In countries like India, .... is a norm and business appointments are ..... met on time.
1. corruption, hardly
2. dedication, rarely
3. red tapism, seldom
4. delay, always
5. behaviour, usually
17. The ...... din reached an ear-splitting ..... as the opponents wrestled with each other in the final match.
1. distorted, yield
2. clamorous, climax
3. desperate, cacophony
4. mysterious, dialogue
5. smooth, volume
18. The company was ordered to ..... Mehta for the costs he had ..... in his unsolicited freelance investigations.
1. luxuriate, spent
2. reimburse, incurred
3. assuage, pledged
4. gratify, earned
5. apportion, paid
19. He established a communist regime in which the state ...... property and its ...... determined wages, prices and production goals.
1. defined, followers
2. controlled, bureaucrats
3. divided, supporters
4. reserved, officers
5. guarded, guardians
20. I was ........ to the possibility that the house might get ...... in the war.
1. prompt, captured
2. defiant, doomed
3. oblivious, shattered
4. resigned, ruined
5. ready, renovated
