when a Ponzi fraud can occur and what interventions can prevent it. A key feature of Ponzi frauds is that the long …-lived agent builds trust over time and improves their reputation by keeping the scheme going. …

product market sanctions and find that after a firm is accused of fraud, its customers impose real and significant economic … customer sanctions result in declines in firm operating performance. At the time the alleged fraud becomes public information … addition, the fraud has significant wealth effects for the firm's customers which seem to impose reputational sanctions …

The risk of a reputation loss can provide an informal enforcement mechanism when contracts are incomplete. This paper … provides evidence that reputation and formal incentives to monitor are substitutes in the context of syndicated credit …. Exploiting as a source of variation the reputation loss suffered by banks actively lending to firms subsequently involved in …

crime that are related to economic determinants: property crimes (including robbery, theft and car theft), fraud and usury … tax evasion positively affects economic crimes. Notably, the elasticity of tax evasion to fraud is related to the size of … adjustment costs. Finally, we find that property crimes, fraud and usury are not influenced by deterrence or clearing …

restatement announcements imply increased fraud risks in Chinese firms in the context that up to one quarter of listed companies … restatements with respect to fraud. In this paper, firms with financial restatements prove to be more likely to be labeled as … positively correlated with future fraud disclosures, and (3) restatements due to negligence are positively correlated with future …