- Higher inflation hurts common man & wage earner's living standards very badly.
- Inflation effectively transfers wealth from savers to borrowers.
- Savers lose their hard earned money while borrowers & spenders gain with effective reduction of their liabilities.
Corruption results in unbridled spending by ill-gotten wealth earners evading taxes, boosting prices of essential commodities and breaking rules & procedures with impunity. Uncontrolled corruption results in crony capitalism, nation turning into a banana republic* and consequently a state of anarchy. As long as Corruption remains a low risk and high profit activity it will grow like a demon.