13 Pages Posted: 4 Sep 2015
Date Written: July 1, 2014
We deny that asymmetrical information is a market failure. In order to make this case, we subject to critical scrutiny the strongest case for this thesis: the view that laws prohibiting insider trading are viable, necessary, or compatible with the rule of law.
Keywords: Market Failure, Insider Trading, Asymmetrical Information, Rule of Law
JEL Classification: D82
Suggested Citation: Suggested Citation
Smith, Taylor Leland and Block, Walter E., The Economics of Insider Trading: A Free Market Perspective (July 1, 2014). Journal of Business Ethics, Forthcoming. Available at SSRN: https://ssrn.com/abstract=2655018