Final answer:
Fraud requires three elements: pressure, opportunity, and rationalization. Rationalization is the process of justifying unethical behavior.
Step-by-step explanation:
For fraud to occur, usually three elements are necessary: pressure, opportunity, and Rationalization. Rationalization is the process of creating a justification or explanation for one's unethical behavior. It is a cognitive distortion that helps individuals reconcile their actions with their personal values or beliefs.
In the context of fraud, individuals may rationalize their actions by convincing themselves that they deserve the ill-gotten gains, or that their actions are justified.