The Effects of Financial Pressure and Tit for tat Strategy on Decision Making in White-collar crime

2021 ◽  
Vol 12 (2) ◽  
pp. 199-221
Author(s):  
Donggyu Hong ◽  
Eunkyung Jo
Author(s):  
Wim Huisman

Corporate and white-collar crimes are crimes committed by managers or other professionals acting in an occupational or business-related context. These crimes are generally viewed as outcomes of rational decision making rather than opportunistic or impulsive behavior. This chapter addresses offender decision making in corporate and white-collar crimes. It builds from, as well as critically reflects on, the rationality paradigm of white-collar decision making. It discusses sociodemographic and psychological characteristics of the managers who commit these crimes and the organizational structures and corporate cultures of the firms that are involved. The chapter also describes the situations in which these crimes are committed, and it reviews research on the perception and evaluation of choice in white-collar and corporate crime settings. The chapter discusses implications of research on white-collar decision making for prevention and intervention of white-collar and corporate crime.


2020 ◽  
pp. 146247452093906
Author(s):  
Joe McGrath ◽  
Deirdre Healy

This article theorizes prosecutorial decision-making using an ecological model which proposes that prosecutorial outcomes are shaped by four inter-related and intersecting systems: (a) macro-level, or societal, factors such as crime rates (b) meso- and exo-level factors, such as organisational culture, (c) micro-level factors, such as interactions between prosecutors, and (d) individual-level factors, such as victim and perpetrator characteristics. While the model is designed to explain prosecutorial decision-making in general, it also accounts for the paradoxical trends observed in the US since the financial crash in 2008 when the number of prosecutions fell despite a heating up of political rhetoric around white-collar crime. The utility of the model is explored through a critical reading of the extant literature and an analysis of relevant qualitative and quantitative data. The discussion shows that, while each set of factors shapes prosecutorial outcomes to some extent, two explanations are particularly convincing. First, the data suggest that the dip in prosecutions may be explained by prosecutors focusing limited resources on more serious (albeit fewer) cases. Second, delays in case processing emerged sometime between 2011 and 2012 due to bottlenecks in the criminal justice process and coincided with the fall in prosecutions. While the roles played by some of the factors considered in this article are already well-known, the contributions of systemic delays and the shift towards more resource intensive cases represent new findings.


2019 ◽  
Vol 26 (1) ◽  
pp. 61-73 ◽  
Author(s):  
Thomas E. Dearden

PurposeThis paper aims to add to the theoretical discussion of white-collar crime by introducing modern psychological decision-making literature and the potential effect on white-collar offending.Design/methodology/approachUsing a theoretical approach, literature on heuristics, innovation and stress, insight into why white-collar offenders decide to commit crime is posited.FindingsThe heuristics and strategies that people use to assist in decision-making process may inadvertently promote white-collar crime. For example, stress may inhibit white-collar offenders’ thinking, causing them to discount the risk of committing said offense; individuals may not challenge the success of carrying out a white-collar offense once it is considered; and generally, people will be more optimistic in considering their success of not getting caught.Originality/valueCurrently, the study of white-collar crime is discussed largely in the context of sociological factors. Current psychological theories have considerable explanatory power in understanding why white-collar offenders commit their crimes.


Author(s):  
David Weisburd ◽  
Elin Waring ◽  
Ellen F. Chayet

Think India ◽  
2014 ◽  
Vol 17 (3) ◽  
pp. 22-24
Author(s):  
Sreekumar Ray

Since inception, the growth of the Indian stock market has been constrained through unethical, illegal and self-actualized activities of swanky persons involved in different capacities in the market. The stock market was trying to retrieve itself from the devastating effect of Harshad Mehta share market scam, when within a gap of ten years it was once again pushed into the darkness of the dungeon by another demon-child of the country- Ketan Parekh. Corporations have been looted by the insider traders, diversifying internal information to an external in lieu of cash. Investigations in the majority cases have proved the involvement of the high ranking officers of the companies in the crime, sophistically referred to as white-collar crime. It has an adverse impact on the growth and sustainability of the share market. Under the light of the above issue, this paper endeavors to study the impact of such crime on the share market. It focuses on the mechanism behind the insider-trading, its impact on the share market and the regulators supervision on the issue. Finally, suggestions have been provided which will contribute towards the dream of every Indian-a fraud-free share market focusing towards the overall development of the country.


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