Preprint Spending Public Money

Mention the issue of corruption in government and most people will immediately think of bribes paid or received for the reward of contracts for goods and services, or - to use the technical term - of adjudication.

If this is indeed the most common form of public corruption, it may be questionable, but it is undoubtedly widespread and almost certainly the most publicized. Hardly a day passes without the revelation of another great scandal in public adjudication elsewhere in the world. It has been the cause of countless dismissals of senior civil servants and even of the collapse of entire governments.

It is a source of astronomical waste in public expenditure, estimated in some cases at almost 30% or more of total acquisition costs. Unfortunately, more is said about what is being done. Few activities raise greater temptation or offer more opportunities for corruption than public sector adjudication.

At any level of government and in any governmental organization it acquires goods and services, often in quantities and in monetary amounts that defy understanding. People who make purchases - both those who carry out the award process and those who approve the decisions - are spending the money of "other people."



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