The optimal amount of fraud in a system is not zero. I've been thinking about that as the drama surrounding Federal Reserve governor Lisa Cook has unfolded.

Before you get mad, let me explain that I'm not talking about the ideal amount of fraud, which is definitely zero. But cheaters abound in this vale of tears, and it's often cheaper to tolerate some small amount of grift than to make the maximum eff ort to stop all of it.

That's why your employer doesn't take every possible step to ensure that you're not taking office supplies home, and why most retailers (until recently) left goods on open shelves instead of putting the razors and Tide pods in locked display cases.

Similarly, banks don't want you to commit "occupancy fraud" — where you say you're going to live in a home to get a low

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