No. Silly Putty won't stick to whatever it is you're trying to seal. It will either fall out, pull loose or sag. That's one of the properties that makes it usable as a toy.
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no because they put so much oil in it so it really never "dries" all the way
Definitely not. Use real caulking, which is designed for the purpose.
Use a proper sealant. The Polyurethanes are the best kind in many ways, and are over paintable. Silly putty would flow out of the crack, in short order ! In the UK I'd recommend Sikkaflex sealants.
Silly putty does not set, it only goes hard when shocked - pulled suddenly or hit with a hammer when it will snap or shatter. It is viscoelastic. If you used it for caulking you would eventually find it had flowed to the bottom of the joint, and out of it too. And paint almost certainly won't stick to it. The paint would probably dry and then you would end up with a mess.
No it flows and is expensive.