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Which of the following is true of the findings of Transparency International's Corruption Perception Index?

A) Lower Rank Indicates Lower Corruption
B) Higher Rank Indicates Lower Corruption
C) Rank is Unrelated to Corruption
D) Index Focuses on Economic Stability

User L Bahr
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Final answer:

The correct answer is B) Higher Rank Indicates Lower Corruption in Transparency International's Corruption Perception Index, where a higher ranking reflects better perceptions of economic freedom and rule of law, factors critical for economic growth and stability.

Step-by-step explanation:

The question regards the findings of Transparency International's Corruption Perception Index (CPI), which aims to rank countries by their perceived levels of public sector corruption as determined by expert assessments and opinion surveys. The correct option is B) Higher Rank Indicates Lower Corruption. The index, which assigns rankings based on estimates, serves as a tool for discerning global patterns in corruption and economic freedom.

Contrary to options A, C, and D, a higher rank in the CPI signifies a lower perception of corruption, which often correlates with a stronger adherence to the rule of law, effective protection of property and contractual rights as indicated by World Bank rankings, and better economic prosperity. In 2015, a notable trend was observed where 101 of the 178 included countries shifted toward greater economic freedom while 77 of the countries faced a decline in economic freedom, reinforcing the link between economic policies, legal systems, and perceptions of corruption.

User Brettins
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