White Collar Crime Test 2

What is one specific method that the EPA uses to help keep the public informed about air pollution issues?

Airnow

Market manipulation by energy companies is restricted under which statute?

Energy independence and Security Act of 2007

In the 1990s, U.S. officials tried to apply criminal sanctions to businesses in other countries that committed corporate crimes, but the Supreme Court prevented it.

False

Prior to the creation of the Occupational Safety and Health Administration, 14,000 people died in the United States everyday while working.

False

Secondary victims include members of the community harmed by victimization.

False

Unlike victims of other white-collar crimes that often fail to report their victimization, most victims of computer-related crimes report offenses.

False

Vandalism is a consequence of mortgage fraud usually faced by businesses forced to shut down.

False

When 100 people died in a nightclub fire, the club had committed the offense of providing an unsafe product.

False

White-collar cybercrime describes crimes that occur outside of an employer's workplace.

False

With globalization and unsafe goods, the United States is doing a better job at tracking which goods and parts come from which countries so that they can be held responsible in the case of an unsafe product.

False

Why were the 1970s labeled the "environment decade?"

Hundreds of new laws were passed to protect the environment

Opportunity explanations for computer crimes focus on the ease with which offenses are committed.

True

Student loan fraud is often committed by students themselves by taking out college loans knowing that they don't plan to attend.

True

Students became targets for student aid fraud as the demand for a college education increases.

True

The Commodity Exchange Act calls upon the Federal Trade Commission to treat market manipulations by petroleum and oil company insiders as false and deceptive business practices that could be subjected to fines of up to one million dollars

True

One of the four views that define the concept of a corporation is which of the following?

corporations exist in a physical or structural presence

If an offender remotely accesses the control systems of an infant formula manufacturer and changes the ingredients with a deadly result, what type of crime has been committed?

cyberterrorism

In 2004 when a large college was caught lying to students about the transfer ability of its credits, what type of offense were they committing?

deceptive sales

Which of the following is a warning sign for mortgage fraud?

increased commissions for brokers

How does banking fraud differ from investment fraud?

individuals engage in fraudulent behaviors to take money from a bank

What is usually stolen during theft as a computer crime?

information

The theft of intellectual property is what type of stolen information?

information protected by copyright

Imagine you are taking a test in a class where one classmate was able to access the test questions ahead of time through a friend. What type of crime in the economic system is this analogy most similar to?

insider trading

Business activities that are covered by antitrust laws include which of the following?

intellectual property use

If someone failed to pay for an item "bought" on eBay, what type of crime would they be committing?

internet crime

What are crimes in the economic system usually classified as?

investment fraud

Which of the following is a red flag warning of a Ponzi scheme?

investors receive high returns consistently

The Computer Fraud and Abuse Act of 1984, broadened in 1996 to make various aspects of computer offending a federal crime, is what strategy for responding to cybercrime?

legislative

Over one-third of companies surveyed in a study on cybercrime attributed some of their cyberattacks to whom?

malicious insiders

Which offense do some question whether it is a true corporate crime?

price discrimination

What type of antitrust offense is holding prices firm, fixing warranties, and eliminating discounts considered?

price fixing

What type of offense was seen in the aftermath of Hurricane Katrina when gas prices were raised significantly?

price gouging

Hospitals are particularly vulnerable to what type of cyberattack?

ransomware

Fraudulent home improvement scams fall under what category of fraud?

real estate agent fraud

Which of the following is not a right given to workers under the Occupational Safety and Health Act?

refuse to work if they feel conditions are unsafe

Under the 'sin-tax' what are companies allowed to do with pollutants?

release pollutants into the air

An agent who fails to pay off a homeowner's original mortgage at closing by keeping the money instead of sending the funds to the lending institution is committing what type of fraud?

reverse mortgage fraud

In regards to the corporate crime dynamics, what does the breadth of victimization refer to?

single offenses can affect millions of people

Which type of fraud occurs when individuals purchase a home they don't plan to live in and then deed the home over to another person who plans to live there?

straw buyer fraud

Which of the following is not a cost associated with workplace injuries and illnesses?

stricter policies relating to the work environment

In 2014, the U.S. Department of Education offered what conclusion about student loan fraud between 2009 and 2012?

student aid fraud rings began to operate

What role is the computer playing if it is hacked?

target of an offense

What does the "cradle to the grave" provision of the Resource Conservation and Recovery Act refer to?

the responsibility of the creator of the waste to track it from creation to disposal

Pollution itself is not an environmental crime.

true

Social networking sites, like Facebook, relate to and offer five different opportunities for white-collar crime.

true

The media pays little attention to corporate crimes.

true

Two types of crackers exist, those on the inside of a targeted company and those on the outside

true

What type of crime do hackers or crackers usually commit?

unauthorized access

A survey by the Ponemon Institute found that the cost of cyber offending was highest in which industries?

utilities, financial, and energy

When parties from different levels of production, manufacturing, and distribution agree to set prices at a certain level, they are committing what type of offense?

vertical price fixing

How do victim characteristics inhibit law enforcement response to computer crimes?

victims often don't know that they are victims

When does a short sale of a foreclosed home become mortgage fraud?

when an agent convinces a bank to sell a home at a loss and uses a corporation to buy the house at a significantly higher price

An offender working with a network of conspirators to commit crimes is an example of what pattern typical in investment fraud?

white-collar gangs

When appraisers intentionally do not conduct a thorough determination of a home's value, they are committing what type of fraud?

windshield appraisal

When officials pump up the prices of stocks by sharing false information online and then subsequently sell their own stocks at a higher price, what crime have they committed?

market manipulation

Which type of crime is believed to be pervasive in the natural energy industry?

market manipulation

Why are colleges and universities a possible target for cyber criminals?

the enormous amount of data collected and stored on campuses

What is one important reason for the creation and persistence of sweatshops?

the existence of a large vulnerable and exploitable population

When drug dealers divide a neighborhood into territories to sell drugs and respond violently when other dealers sell in their neighborhood, what type of antitrust offense is this analogous to?

market allocation

Which of these statements about false advertising is not true?

Advertisements featuring celebrities do not necessarily have to reflect their true beliefs about a product, as long as they are aware of this.

Which of the following cannot be considered a type of software crime?

Child pornography

Which of the following is an antitrust offense?

market allocation

Complex jurisdictional issues encourage cooperation among law enforcement agencies in their efforts to respond to cybercrime.

False

Computer crime and cybercrime refer to computer-related behaviors that are illegal, but not harmful.

False

Deceptive sales occur when businesses make inaccurate statements about their products or services in order to facilitate the sale of those items/services.

False

In a Ponzi scheme, the victim rarely interacts with the creator of the scheme.

False

Piracy is most specifically considered a type of internet crime.

False

What do pyramid and Ponzi schemes have in common?

Payments made to investors come from new participants in the schemes

Which type of harmful products is often found to be the most unsafe?

Toys

Crimes in the economic system are generally classified as investment fraud and banking fraud.

True

Exclusively using one appraiser can be a warning sign of mortgage fraud.

True

For straw buying schemes to be successful, appraisers must provide inflated appraisals.

True

Interference with an individual's access to their technology because of cyber offending can cause physical and social consequences for the victim.

True

Misrepresenting preloan counseling can be a type of reverse mortgage fraud.

True

Under which circumstance is price discrimination illegal?

it decreases competition

Why are antitrust offenses difficult for officials to detect or identify?

agreements can be made without verbal or written evidence

What separates illegal flipping and legitimate fixing and reselling of houses?

an individual home is bought and resold multiple times at inflated prices

What is a common pattern shared by mortgage and investment offenders?

an offender is involved with a network of participants to commit fraud

A group of infected computers online, under the control of one cyber offender at the same time, is known as what type of computer crime?

botnet

Chunking and churning are types of mortgage fraud that involve what type of real estate activity?

buying and selling multiple homes

When an offender convinced people to invest in gold that did not actually exist, what type of investment fraud was committed?

commodities fraud

Competitors who conspire to submit artificially high bids or estimates so that a specific competitor with a low price will be selected for a job are committing what type of collusion?

complementary bidding

Why is there so little attention given to reporting on corporate crimes?

corporate crime is not as sensational as other types of crime

Which of the following is an employee-based strategy that employers use to protect their businesses from computer crime in the workplace?

employee-initiated audits of their computer use

The allegations against the British Petroleum company (BP) after their major oil spill in 2010 were for what type of crime?

environmental crime

Which type of mortgage fraud involves investors convincing financially distressed homeowners to "hire" them to buy the home?

equity skimming

What has the government done to try to address the working conditions and exploitation of workers in sweatshops?

established the fair labor and standards act targeting unfair labor practices such as exploitation and discrimination

An employer who asks a worker to stay late and help clean up without being paid is committing what type of offense?

exploitation

The public is often aware of corporate crimes committed by companies, but do not realize the actions they can take to stop it.

false

Which type of offense is likely to go unnoticed by victims?

food poisoning

What type of crime do prearranged trading and bucketing fall under?

futures trading fund

With nursing home neglect, what type of offense is being committed?

harmful treatment of consumers

If an offender convinces an investor to invest on the promise that funds are backed by the Federal Reserve when in fact there is no backing for these funds, what type of crime has been committed?

high-yield investment schemes

What computer crime can result from responding to phishing emails?

identity theft

If a computer virus is not introduced into a computer by an intruder, what is the intruder's probable goal?

obtain information

When cyber offenders steal information for profit, what is one way they sell stolen information?

offer dumps of credit card and/or banking information

What type of computer crime is most prevalent on college campuses?

piracy

What type of fraud do builders commit?

they offer excessive incentives to buyers that are not reported to the lender to increase their profit

Even if they get caught, many corporations believe the benefits outweigh the costs when it comes to committing corporate crimes

true

Food poisoning is considered a corporate crime.

true