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1.
Why are pyramid schemes unsustainable by nature?
There are never enough participants to keep the pyramids growing. They are a fast way for scammers to defraud others.
2.
Creating artificial demand for a stock and then selling it to make a quick profit is known as _______.
Pump and dump. Pumping and dumping means creating artificial demand and then selling in order to gain from it.
3.
When you send a cryptocurrency payment to another person, it is not reversible.
True. Crypto payments are not reversible; to get one back, the other person would have to send it to you, which is not likely to happen if the person had defrauded you.
4.
What does a romance scammer usually try to get first, before coming after your money?
A connection with you. Romance scams require that the victim develop a feeling of connection with the criminal; this makes it harder to refuse him or her.
5.
Which of the following job offers is most likely a work-at-home scam?
Processing rebates for two hours a day for $500. Pay that is far above market rates is a classic sign of a scam.
6.
Why might a scammer go to great lengths to detail the intricate aspects of an "opportunity"?
Detail makes the opportunity look legitimate. The more detail, the more real it seems.
7.
Telephone swindlers assume that people they call will want to be courteous to them on the phone.
True. This courtesy is part of how they trap innocent people.
8.
Why are so many frauds tailored to the elderly?
All of the above. Though these do not describe all elderly, they describe enough that criminals target them.