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I was recently reading an article about how financial accounting has increasingly deviated from the ratios expected by Benford's Law. (Benford's Law and Decreasing Reliability).

The author discusses the S&L crisis, but that's not enough to say that Benford's Law is a good predictor of performance. How reliable of a predictor is Benford's Law for anticipating crises or even for company failure on a case by case basis? If you could cite specific examples from history, that would be great.

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Completely random but - the applications of Benford's Law and the law itself blow my mind. –  Zermelo Nov 14 '11 at 22:08
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