We examine firm managers' incentives to commit fraud in a model where firms seek funding from investors and investors … can monitor firms at a cost in order to get more precise information about firm prospects. We show that fraud incentives … funded without committing fraud, whereas in bad times investors are more vigilant and it is harder to commit fraud …

behavior by sellers. This paper presents the results of a natural field experiment on taxi rides in Athens, Greece, set up to … measure different types of fraud and to examine the influence of passengers' presumed information and income on the extent of … fraud. Results reveal that taxi drivers cheat passengers in systematic ways: Passengers with inferior information about …