Judgment in Managerial Decision Making: The Ponzi Scheme Everyone makes decisions, both good and bad, throughout their lives. Recently, there has been quite a bit of talk about the bad decisions that businesses and their executives have made. Issues Continue Reading...
Business Ethics - Contemporary Case 2: Madoff's Investment Firm The investment Ponzi scheme of Bernie Madoff and his hedge fund for wealthy clients was a major violation of ethics by Madoff, as he showed a severe lack of transparency (hiding his act Continue Reading...
The concept of bounded ethicality raises the possibility that Madoff in fact did not understand that what he was doing was unethical. As an experience hedge fund manager, a rational-thinking Madoff had all the tools to understand the ethics of what Continue Reading...
Ponzi SchemeBernie Madoffs Ponzi scheme is one of the biggest scandals that have faced the U.S. Securities and Exchange Commission. The beginning of this scheme can be traced back to 1960 when Madoff started his brokerage company, which grew to becom Continue Reading...
Economics of Healthcare The Economics of Health Care The healthcare in the United States is a system of economics that has been referred to as a Ponzi scheme and most assuredly, the economics of the U.S. healthcare system are unsound at best. The U Continue Reading...
Rather than propping up "bad blood" and allowing the "illusion" of wealth to continue to be fostered, the Federal Reserve should allow the market to flush out the "bad blood" and operate the way it is intended. Conclusion In conclusion, the good t Continue Reading...
Unfortunately, determining which fund to go with for a retail investor is difficult, as there are many unscrupulous fund managers who might seek to take advantage of the fact that they are playing with other people's money and making (at least) the Continue Reading...
11 million. He was asking the court to order the Nigerian government to return the total amount of money that was sent to them during this time. The reason why, is because there was a number of government institutions that were utilized as a part of Continue Reading...
Removing losses from the company's books made the main corporation look more attractive. Enron appeared to be operating at a profit; a key factor in the valuation of any company's stock. By virtue of this "success," Enron was able to raise even more Continue Reading...
Corporate Accountability The corporate scandals of the last fifteen years have brought the issue of corporate accountability to new light, adopting at times a center-stage discussion. When the Bernie Madoff scandal broke, many professionals turned Continue Reading...
Steps were also taken to organize a stock market in Lahore (Burki, 1999, pp.127-128). Also organized during this period were the Pakistan Industrial and Credit Investment Corporation (PICIC) and the Industrial Development Bank of Pakistan (IDBP), b Continue Reading...
EU Profile In 2012, the European Union (EU) was awarded the Nobel Peace Prize for its work in "the advancement of peace and reconciliation, democracy and human rights in Europe" for more than half a century (The Nobel Peace Prize for 2012). Lauded b Continue Reading...
Bernie Madoff's story is a very interesting tale of greed and deception. The actions of him and many of his associates present interesting questions about the occurrence of crime in financial industries. The purpose of this essay is to analyze the be Continue Reading...
In the first-round survey, a majority of investors cited diversification as their main objective in allocating to hedge funds. Among the second-round interviewees who were planning to increase their target allocations by 10% or more, half named dive Continue Reading...
Deception A) How are the contexts and deceptions different? In the two articles, "Lying for Love in the Modern Age, Deception in Online Dating" and "Exoneration of Serious Wrongdoing via Confession to a Lesser Offense," the two authors describe dif Continue Reading...
As Geisel (2004) notes: Income-tax deductions are worth the most to high-bracket taxpayers, who need little incentive to save, whereas the lowest-paid third of workers, whose tax burden consists primarily of the Social Security payroll tax (and who Continue Reading...
(Lenzner, 2008) When scrutiny revealed that Madoff has for years fabricated these returns as a way to court wealthy investors, his would prove to be both the largest of such scams in history and demonstrative of the ethical void defining today's cor Continue Reading...
ETHICS plays an important role in many areas of our business world. Take direct selling, for instance. How can you tell the difference between a legitimate business and a disguised pyramid scheme? To answer this question, we need to back up and look Continue Reading...
Financial fraud refers to the act of deceitfully and illegally taking money or property for personal gain. It is an ever-evolving problem with serious implications for individuals, businesses, and the economy at large. The variety of fraudulent activ Continue Reading...
Sorkin's book does a good job of giving the details on what happened among Lehman Brothers, Barclays, JP Morgan, Goldman Sachs, the Fed, and Big Gov following the collapse. Essentially, everyone had egg on his face -- but some of the bigger powers Continue Reading...
Introduction Milton Friedman’s quote gets to the heart of the conflict between shareholder theory vs. stakeholder theory. Shareholder theory posits that a corporation’s sole responsibility is to maximize the return on investment (ROI) for Continue Reading...
The InterviewRecently, I came across a rather fascinating and intriguing article indicating that most young adults are not financially literate. More specifically, the article indicated that young adults, i.e. those in the 18 26 age bracket lack the Continue Reading...
Those discretionary areas include sales and negotiating. These are open to flexibility, argument, discussion -- all within boundaries. The boundaries that fence them in are the non-discretionary functions of the business, those areas where the lines Continue Reading...
Ethical behavior of a person or a corporation greatly affects the stakeholders with which that person is involved. Often, people and companies take serious consideration when it comes to those stakeholders, and they work to take good care of the peop Continue Reading...
Framework Analysis & Review As is also noted in the methodology of this report, the overall basis and goal of this report is to assess the widespread and national-level Dutch construction fraud scandal that erupted and came into full bloom in 200 Continue Reading...
ENRON & ETHICS To say that the behavior and outlook at Enron was myopic would be putting it lightly. Indeed, to be myopic means to be short-sighted and intellectual about decisions made and the effects that will be rendered. Besides that, it is Continue Reading...
Interest Groups in 2012 Presidential Election President Barak Obama was elected in 2008. This was an historic occasion in American history, given that Obama was the first African-American ever to assume the nation's highest office. His victory was a Continue Reading...
Ethical ChallengesTable of ContentsIntroduction: Impact of accounting on corporate performance 1Ethical Challenges Faced to Maintain Cost Accounting 1Ethical Issue in Cost Accounting 1What are the Factors that Influence Ethical Behavior in Cost Accou Continue Reading...
At the turn of the 21st century, Anne Mulcahy was recognized as a strong leader with good organizational skills. She quickly proved just how capable she was when, after being appointed CEO of Xerox in 2001, she implemented a “strategy of relent Continue Reading...
Financial Crimes Knights Templar The Order of the Knights Templar (Poor Knights of Christ and the Temple of Solomon) was founded in 1118 to protect Christians on pilgrimage to Jerusalem (Blacktorne, 2011). The Order was sanctioned by King Baldwin I Continue Reading...
working on financial practice problems can help students to apply key concepts and principles. Understanding various financial practice problems will help all students to ensure that they have a foundation for knowing how money and the world of fin Continue Reading...
corporate form of "the business corporation," its structure, prerogatives, and procedures, leads to ethical problems arising, or being difficult to resolve. Ethics in business has always seemed to be a struggle, because the main purpose of a busines Continue Reading...
Six Reasons the European Union Will Not Last Introduction The European Union (EU) is the heart and soul of modern Europe, yet it is not without its challenges. Whether it comes to trade issues, member states failing to follow regulations, or immigrat Continue Reading...
First, math courses are required as part of college work in the pursuit of most degrees in the health care field. The level of required achievement is different, depending on the degree sought. For example, a student pursuing an LPN may take a semes Continue Reading...
Hesitant to Pursue a Career in Business Whom it May Concern Re: Why I Am Hesitant to Pursue a Career in Business In a tough economy, most people would probably take any job they can get after they graduate from college. However, as it comes close Continue Reading...
The integrity of the financial sector of these organizations controlled by state agencies and related services, would improve. The provisions offered by the act would serve as models based on which standards for other non-profit organizations can be Continue Reading...
It is also argued that the insurance mandate is not constitutional since the government does not have the right to tell the United States citizens what products to purchase, even when these products are beneficial for them, and even less when the s Continue Reading...
"Forecasts by Moody's Economy.com now use a 20 percent drop in median existing-home prices from their 2005 peak as a baseline, with prices weakening through at least mid-2009" (Shinkle, 2008, p. 44). Moody's director of housing economics Celia Chen Continue Reading...
