[snagglegaggle]

Corruption is a moral issue that exists besides the law. If the payment occurring produces no net benefit then I see no reason to consider it just.

These problems seem complex and may truly be, but if they lead to payment for nonperformance then that needs to be addressed. I expect the market can figure it out from there.

[bumby]

I don't think I agree on your definition of corruption. Corruption in the legal sense is, by definition, illegal fraudulent activities, generally defined as using a public office for private gain. The fact that an operation is unproductive doesn't necessarily make it corrupt.

Even while I have libertarian leanings, I would be hesitant to "expect the market can figure it out" largely because of asymmetries of information and the tendencies of present bias in making decisions, especially those with a profit incentive.