Pump and Dump Is the Act of Hyping a Stock

question 48

True/False

Pump and dump is the act of hyping a stock in order to benefit from a sale once the hype affects the price.

---

Definitions:

Emotional Self-regulation

The ability to manage and respond to an individual's emotional experiences in an appropriate manner.

Social Referencing

Social referencing is the process by which individuals look to others in their environment for cues on how to react or behave in new or ambiguous situations.

Ego-integrity-versus-despair

A stage from Erik Erikson's theory of psychosocial development, occurring in late adulthood, where individuals reflect on their life and either achieve a sense of fulfillment or experience despair.

Psychosocial Development

The approach that encompasses changes in our interactions with and understandings of one another, as well as in our knowledge and understanding of ourselves as members of society.