View Item 
        •   Huskie Commons Home
        • College of Law
        • College of Law Faculty Publications
        • View Item
        •   Huskie Commons Home
        • College of Law
        • College of Law Faculty Publications
        • View Item
        JavaScript is disabled for your browser. Some features of this site may not work without it.

        The Impact of Insider Trading on the Market Price of Securities: Some Evidence from Recent Cases of Unlawful Trading

        Thumbnail
        View/Open
        Rosenfeld-44-J-Corp-L-65-2018-pdfA.pdf (2.918Mb)
        Date
        2018-11-01
        Author
        Rosenfeld, David
        Metadata
        Show full item record
        Abstract
        The government's recent crackdown on insider trading has revived an old debate about the wisdom of insider trading prohibitions. Opponents of insider trading laws often argue that insider trading contributes to market efficiency because it brings information to the market which gets incorporated into the price of the security, leading to more accurate pricing in a more timely fashion. Although this argument is intuitively appealing and has some empirical support, a look at some recent cases of known insider trading reveals situations where the market fails to detect the presence of informed traders, and even instances where the stock price moves in the contrary direction. This indicates that insider. trading does not always bring information to the market, which undermines what is perhaps the most cogent argument for ending insider trading prohibitions.
        URI
        https://commons.lib.niu.edu/handle/10843/24331
        Collections
        • College of Law Faculty Publications
        • Scholar's Collection

        DSpace software copyright © 2002-2016  DuraSpace
        Contact Us | Send Feedback
        Theme by 
        Atmire NV
         

         

        Browse

        All of Huskie CommonsCommunities & CollectionsBy Issue DateAuthorsTitlesSubjectsThis CollectionBy Issue DateAuthorsTitlesSubjects

        My Account

        Login

        Copyright

        Copyright, Access, and Withdrawal Information

        DSpace software copyright © 2002-2016  DuraSpace
        Contact Us | Send Feedback
        Theme by 
        Atmire NV