Question

How is corruption a source of unemployment

Answer 1

Corrupt governments are in it for themselves and are solely focused on maintaining power they are not motivated to help their people. So along those lines poverty is a way to control thought and power. For example if a company becomes too big in a corrupt country that government might suppress it so not to have someone able to challenge the current authority. They might divide people along lines like race and ethnicity. That way people fight with themselves instead of focusing on positive economic growth. For example they might spread a lie, person of this race is lazy and terrible worker. If enough people believe it a person of that race will not be employed.

Corrupt governments are often very ideological and are not interested in reality or hearing conflicting points of view. If they believe in an economic model that doesn’t fit reality it’ll cause unemployment and could cause a financial crisis. An example of this might be an acceptance of price gouging, people making things more expensive for no reason, but is ignored because someone with connections is making an obscene amount of money. All this is often in tandem with sowing fear and a distrust for institutions. This distrust limits institutions from creating positive change in the country.

Mostly unemployment is due to their own greed and denial of reality