DAN ARIELY

Updates

Speculations on Bear Stearns

April 5, 2008 BY danariely

Can it be that cheating and taking too much risk are related?

We learned that people cheat more when the object of cheating is even one step removed from money. Could it be that when financial tools are more complex it encourages people to take too much risk? It is hard to tell, but I suspect this might be the case.