I also want to raise the possibility that there are, in…
“I also want to raise the possibility that there are, in the very long term, "virtue effects" in economics- for instance that widespread corrupt accounting will eventually create bad long term consequences as a sort of obverse effect from the virtue-based boost double-entry book-keeping gave to the heyday of Venice. I suggest that when the financial scene starts reminding you of Sodomand Gomorrah, you should fear practical consequences even if you like to participate in what is going on.”
About This Quote
This interpretation was drafted with AI assistance. It is one reading of the quote, not the author's own explanation.
Long‑term economic outcomes are shaped by collective moral behavior; widespread corruption eventually harms the system, just as virtuous accounting once boosted prosperity.
In simple terms: Bad habits eventually damage economies.
Key Takeaway
Watch for systemic decay.
Themes
ethics
economics
long‑term risk
corruption
history
Mood
cautious
reflective
analytical
Type
advisory
philosophical
warning
When to use this quote
- financial analysis
- policy making
- investment decisions
- regulatory oversight
Key Concepts
virtuous cycles
obverse effects
systemic risk
moral hazard
Questions to Reflect On
- What ethical standards could prevent such decay?
- How can institutions detect early signs of systemic corruption?
A Different Perspective
Corruption may be hidden until crises reveal it.