Great Performance !

The Ku Klux Klan lay largely dormant until 1915, when D. W. Griffith’s film The Birth of a Nation—originally titled The Clansman— helped spark its rebirth. Griffith presented the Klan as crusaders for white civilization itself, and as one of the noblest forces in American history. The film quoted a line from A History of the American People, written by a renowned historian: “At last there had sprung into existence a great Ku Klux Klan, a veritable empire of the South, to protect the Southern country.” The book’s author was U.S. president Woodrow Wilson, onetime scholar and president of Princeton University. Read the rest of this entry »

As institutions go, the Ku Klux Klan has had a markedly up-and-down history. It was founded in the immediate aftermath of the Civil War by six former Confederate soldiers in Pulaski, Tennessee. The six young men, four of whom were budding lawyers, saw themselves as merely a circle of like-minded friends—thus the name they chose, “kuklux,” a slight mangling of kuklos, the Greek word for “circle.” They added “klan” because they were all of Scotch-Irish descent. In the beginning, their activities were said to be harmless midnight pranks—riding horses through the countryside while draped in white sheets and Read the rest of this entry »

Feldman has also reached some of his own conclusions about honesty, based more on his experience than the data. He has come to believe that morale is a big factor—that an office is more honest when the employees like their boss and their work. He also believes that employees further up the corporate ladder cheat more than those down below. He got this idea after delivering for years to one company spread out over three floors—an executive floor on top and two lower floors with sales, service, and administrative employees. (Feldman wondered if perhaps the executives cheated out of an overdeveloped sense of entitlement. What he didn’t consider is that perhaps cheating was how they got to be executives.) Read the rest of this entry »

So what do the bagel data have to say? In recent years, there have been two noteworthy trends in the overall payment rate. The first was a long, slow decline that began in 1992. By the summer of 2001, the overall rate had slipped to about 87 percent. But immediately after September 11 of that year, the rate spiked a full 2 percent and hasn’t slipped much since. (If a 2 percent gain in payment doesn’t sound like much, think of it this way: the nonpayment rate fell from 13 to 11 percent, which amounts to a 15 percent decline in theft.) Because many of Feldman’s customers are affiliated with national security, there may have been a patriotic element to this 9/11 Effect. Or it may have represented a more general surge in empathy. Read the rest of this entry »

In the real world, Feldman learned to settle for less than 95 percent. He came to consider a company “honest” if its payment rate was above 90 percent. He considered a rate between 80 and 90 percent “annoying but tolerable.” If a company habitually paid below 80 percent, Feldman might post a hectoring note, like this one: Read the rest of this entry »

Despite all the attention paid to rogue companies like Enron, academics know very little about the practicalities of white-collar crime. The reason? There are no good data. A key fact of white-collar crime is that we hear about only the very slim fraction of people who are caught cheating. Most embezzlers lead quiet and theoretically happy lives; employees who steal company property are rarely detected. Read the rest of this entry »

In 1984, when his research institute fell under new management, Feldman took a look at his career and grimaced. He decided to quit his job and sell bagels. His economist friends thought he had lost his mind, but his wife suppor ted him. The last of their three children was finishing college, and they had retired their mortgage. Read the rest of this entry »