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New dogs, old tricks. Why do Ponzi schemes succeed?

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  • Lewis, Mervyn K.

Abstract

The Madoff saga is a vivid reminder of people's vulnerability to Ponzi schemes, and to how little the financial scams change over time. How are we to account for such schemes? Why do people fall for the same old tricks?

Suggested Citation

  • Lewis, Mervyn K., 2012. "New dogs, old tricks. Why do Ponzi schemes succeed?," Accounting forum, Elsevier, vol. 36(4), pages 294-309.
    • Handle: RePEc:eee:accfor:v:36:y:2012:i:4:p:294-309
    DOI: 10.1016/j.accfor.2011.11.002
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    Cited by:

    1. Mengyin Li & Phillip H. Phan & Xian Sun, 2021. "Business Friendliness: A Double-Edged Sword," Sustainability, MDPI, vol. 13(4), pages 1-22, February.
    2. Reurink, Arjan, 2016. "Financial fraud: A literature review," MPIfG Discussion Paper 16/5, Max Planck Institute for the Study of Societies.
    3. Kim Kaivanto, 2014. "Visceral emotions, within-community communication, and (ill-judged) endorsement of financial propositions," Working Papers 69123498, Lancaster University Management School, Economics Department.
    4. Hervé Laroche & Véronique Steyer & Christelle Théron, 2019. "How Could You be so Gullible? Scams and Over-Trust in Organizations," Journal of Business Ethics, Springer, vol. 160(3), pages 641-656, December.
    5. Hofstetter, Marc & Mejía, Daniel & Rosas, José Nicolás & Urrutia, Miguel, 2018. "Ponzi schemes and the financial sector: DMG and DRFE in Colombia," Journal of Banking & Finance, Elsevier, vol. 96(C), pages 18-33.
    6. Benjamin Amoah, 2018. "Mr Ponzi with Fraud Scheme Is Knocking: Investors Who May Open," Global Business Review, International Management Institute, vol. 19(5), pages 1115-1128, October.

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