Difference between revisions of "Lesson:How a Ponzi Scheme works"
Solernevital (talk | contribs) |
|||
| (12 intermediate revisions by 6 users not shown) | |||
| Line 4: | Line 4: | ||
#Do you know what a Ponzi Scheme is? | #Do you know what a Ponzi Scheme is? | ||
| − | #Have you ever entered | + | #Have you ever entered this scheme? How was it? Did you make or lose money? |
| − | #Why do you think people | + | #Why do you think people create Ponzi Schemes? |
| − | #Do consider it gambling? | + | #Do you consider it gambling? Why? Why not? |
#Do you play slot machines? | #Do you play slot machines? | ||
#What percentage of people do you think gamble? | #What percentage of people do you think gamble? | ||
| − | #Do you think that those who own and run Ponzi Schemes are criminals | + | #Do you think that those who own and run Ponzi Schemes are criminals? |
| − | #Apart from the obvious reason of | + | #Apart from the obvious reason of making money, why do people gamble? |
#Should some forms of gambling be banned? | #Should some forms of gambling be banned? | ||
| − | #Do you bet? How often? What's the biggest bet you ever placed? | + | #Do you bet? How often? What's the biggest bet you have ever placed? |
==Vocabulary== | ==Vocabulary== | ||
| Line 18: | Line 18: | ||
Look at the vocabulary below. Take time to explore the links for their definitions in English and their translations to Portuguese. When you are done, make a sentence with each word. Ask your teacher if you should write them down or say them out loud. | Look at the vocabulary below. Take time to explore the links for their definitions in English and their translations to Portuguese. When you are done, make a sentence with each word. Ask your teacher if you should write them down or say them out loud. | ||
| − | + | {{Definition|invest}} | |
| − | + | {{Definition|beat}} | |
| − | + | {{Definition|needless}} | |
| − | + | {{Definition|ecstatic}} | |
| − | + | {{Definition|investor}} | |
| − | + | {{Definition|market}} | |
| − | + | {{Definition|huge}} | |
| − | + | {{Definition|margin}} | |
| − | + | {{Definition|profit}} | |
| − | + | {{Definition|enough}} | |
| − | + | {{Definition|pyramid}} | |
| − | + | {{Definition|crumble}} | |
| − | + | {{Definition|illegal}} | |
| − | + | {{Definition|understand}} | |
| − | + | {{Definition|few}} | |
| − | + | {{Definition|returns}} | |
==Video== | ==Video== | ||
| Line 39: | Line 39: | ||
Watch the following video but DON'T read the transcript yet. | Watch the following video but DON'T read the transcript yet. | ||
| − | {{ | + | {{youtube|VXRkfqw67GE}} |
<br> | <br> | ||
After watching the video do this [[{{FULLPAGENAME}}/ExerciseL1 | listening exercise]]. | After watching the video do this [[{{FULLPAGENAME}}/ExerciseL1 | listening exercise]]. | ||
| Line 45: | Line 45: | ||
<br> | <br> | ||
</div> | </div> | ||
| + | |||
==Reading practice== | ==Reading practice== | ||
| Line 50: | Line 51: | ||
<div class="toccolours mw-collapsible mw-collapsed" style="width:95%">Transcript:<div class="mw-collapsible-content"> | <div class="toccolours mw-collapsible mw-collapsed" style="width:95%">Transcript:<div class="mw-collapsible-content"> | ||
| − | So, you may have heard about Ponzi Schemes in the news. Everybody knows | + | So, you may have heard about Ponzi Schemes in the news. Everybody knows they're illegal but you might not understand how they work. So, Ben is here to show us. To start off, Ben gets a few people to invest their money with him. At the end of the year he gives those clients amazing returns that beats every other investor in the market. Needless to say the investors are thrilled. In fact they're so ecstatic about all the money they're making that they tell all their friends and family about it too; who tell their friends, who tell their friends. In the stock market, most investors make money some years and lose money others. But Ben's Ponzi Scheme, yeah, it never loses money. In fact, it always beats the market by a huge margin, but the returns he pays to these people aren't from actual profits. He just takes the money, these new guys invest and gives it to these guys. But as soon he can't get enough new money from this group to pay these people then the whole pyramid starts to crumble. Because they're not getting paid anymore. Ben and these guys who invested first made a killing but these folks lost all their money. So, the next time a guy like Ben tries to get you to invest in something that sounds too good to be true, it probably is. Just ask Ben. |
</div> | </div> | ||
</div> | </div> | ||
| Line 56: | Line 57: | ||
==Writing practice== | ==Writing practice== | ||
| − | Write a couple of paragraphs | + | Write a couple of paragraphs talking about how to invest your money. Make sure to use words you learned from the text and try to make it as long as you can. |
| + | |||
| + | <br><br> | ||
| + | {{#widget:DISQUS | ||
| + | |id=jointhegrove | ||
| + | |uniqid={{PAGENAME}} | ||
| + | |url={{fullurl:{{PAGENAME}}}} | ||
| + | }} | ||
| − | [[Category: | + | [[Category:Core]] |
Latest revision as of 09:42, 22 August 2015
Conversation
Answer the following questions. You might be asked to write them down or answer them out-loud.
- Do you know what a Ponzi Scheme is?
- Have you ever entered this scheme? How was it? Did you make or lose money?
- Why do you think people create Ponzi Schemes?
- Do you consider it gambling? Why? Why not?
- Do you play slot machines?
- What percentage of people do you think gamble?
- Do you think that those who own and run Ponzi Schemes are criminals?
- Apart from the obvious reason of making money, why do people gamble?
- Should some forms of gambling be banned?
- Do you bet? How often? What's the biggest bet you have ever placed?
Vocabulary
Look at the vocabulary below. Take time to explore the links for their definitions in English and their translations to Portuguese. When you are done, make a sentence with each word. Ask your teacher if you should write them down or say them out loud.
Video
Watch the following video but DON'T read the transcript yet.
After watching the video do this listening exercise.
Reading practice
Read the following transcript then do the associated reading comprehension exercise.
So, you may have heard about Ponzi Schemes in the news. Everybody knows they're illegal but you might not understand how they work. So, Ben is here to show us. To start off, Ben gets a few people to invest their money with him. At the end of the year he gives those clients amazing returns that beats every other investor in the market. Needless to say the investors are thrilled. In fact they're so ecstatic about all the money they're making that they tell all their friends and family about it too; who tell their friends, who tell their friends. In the stock market, most investors make money some years and lose money others. But Ben's Ponzi Scheme, yeah, it never loses money. In fact, it always beats the market by a huge margin, but the returns he pays to these people aren't from actual profits. He just takes the money, these new guys invest and gives it to these guys. But as soon he can't get enough new money from this group to pay these people then the whole pyramid starts to crumble. Because they're not getting paid anymore. Ben and these guys who invested first made a killing but these folks lost all their money. So, the next time a guy like Ben tries to get you to invest in something that sounds too good to be true, it probably is. Just ask Ben.
Writing practice
Write a couple of paragraphs talking about how to invest your money. Make sure to use words you learned from the text and try to make it as long as you can.
{{#widget:DISQUS
|id=jointhegrove
|uniqid=How a Ponzi Scheme works
|url=http://thegrove.com.br/metodo/index.php/How_a_Ponzi_Scheme_works
}}