No, it wasn’t just greed. Michael Zhuang writes a short article How Madoff Did It in his investment newsletter titled MZ Capital. He draws on the work of social psychologist Robert Cialdini, author of Influence and Yes!, to show us why people fell for the Madoff Scheme. It’s worth reading.
I am a fan of Cialdini’s work on influence, and his six categories can be helpful in making a case for a new idea. Zhuang shows how those same powerful psychological forces can be used to manipulate us.