Logarithm and Ponzi scheme: Difference between pages

Revision as of 01:06, 29 December 2020

Fraud - investment.

A Ponzi scheme is a type of investment fraud.

An illusion of high rates of investment return is created by making payments to early investors out of the proceeds from later investments.

This is an unsustainable structure, dependent for its continuation on attracting ever-larger numbers of investors.

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+''Fraud - investment.''
-The mathematical function which is the inverse of "raising to the power of".
+A Ponzi scheme is a type of investment fraud.
-Often abbreviated to "log".
+An illusion of high rates of investment return is created by making payments to early investors out of the proceeds from later investments.
+This is an unsustainable structure, dependent for its continuation on attracting ever-larger numbers of investors.
-'''Example'''
-Working with logarithms to the base 10:
+== See also ==
+* [[Fraud]]
+* [[Pyramid selling]]
+* [[Misrepresentation]]
-log<sub>10</sub>(100) = 2
+[[Category:The_business_context]]
+[[Category:Investment]]
-And 10<sup>2</sup> = 100
+[[Category:Identify_and_assess_risks]]
+[[Category:Manage_risks]]
+[[Category:Financial_products_and_markets]]
-More generally, with logarithms to the base n:
-log<sub>n</sub>(x) = the power which, when 'n' is raised to it = x
-'''Example'''
-<sup>(log<sub>10</sub>(x))</sup> = x
-And, more generally:
-n<sup>(log<sub>n</sub>(x))</sup> = x
-.
-The logarithm to the base 10.
-== See also ==
-* [[Natural logarithm]]