A recent New York Times article about Bernard Madoff and his illegal Ponzi scheme stated, "When money goes global, fraud does too." Although the goal of investors who trusted Madoff's investment company was to earn the highest return possible on their investments, they turned a blind-eye toward the fact that some of those returns were too good to be true. Individual investors, companies, and even charities lost large sums of money by investing with Madoff's company. Which of the following statements relates to this story?
A)The unethical behavior of one company had a worldwide ripple effect that can impact the well being of an economy.
B) Too much regulation caused the capitalistic nature of Mr. Madoff's business model to fail.
C) People lost money because of the fluctuations in world trading currencies, questioning the legitimacy of trading abroad.
D)Investors did not sign contracts with Mr. Madoff's company. The government can only protect individuals and companies who sign enforceable contracts.

Question

Quizplus · Accepted Answer

The article discusses how Madoff's fraud was able to thrive due to the global nature of the financial industry and how it ultimately had a ripple effect on investors worldwide. This highlights the interconnectedness of the global economy and how unethical behavior in one part of the world can impact the well-being of others.

A Recent New York Times Article About Bernard Madoff and His