LARGE SUMS OF MONEY PUSH PEOPLE PAST MORAL LIMITS

It’s not unusual for corporations to make headlines for unsavory practices. GE joined the party this summer when it was caught cooking the books to exaggerate earnings. According to a new study published in the November/December issue of Psychology Today magazine, the mere presence of large sums of money pushes people past their moral limits, making them more likely to lie, cheat, and steal.

Subjects in the Organizational Behavior and Human Decision Processes study took a test in one of two rooms; one contained just enough cash to pay them, while the other was stocked with an extra five grand. The participants were paid based on performance, but test results were self-reported. Over twice as many people cooked their own books and overstated their performances in the “wealthy” room than in the “poor” room.

Such misbehavior comes from seeing green, literally and figuratively. Being in an environment of abundant wealth highlights the financial disparities between ourselves and others and stimulates envy, according to study co-author Francesca Gino of the University of North Carolina. Which means imposing executive salary caps may just keep all of Wall Street in line!