2006-08-21 10:05:56 · 2 answers · asked by Munch_101 1 in Business & Finance ➔ Other - Business & Finance
Social Costs:
-Lack of public confidence in trading system and business
-Reduced equity participation and poorer economic standards
-Reduced ability to efficiently raise capital for industries and technologies that can raise the quality of life
-Demonstration of reward for unethical behavior
-Greater volitility in the equities market making it less attractive
Economic Costs:
-Taxes to support regulatory agencies and investigations
-Law suits
-Higher spread costs due to lack of efficiency in trading
-Personal trading losses due to price volitility
2006-08-21 10:16:47 · answer #1 · answered by Matthew L 2 · 1⤊ 0⤋
Participants in insider trading should be whipped mercilessly!
It's one thing to get a tip on a stock that's about to skyrocket....you're getting a free ride to the top.....but the bastards that dump a stock before it tanks are the worst kind of thieves! There are old ladies and middle income people out there who are (stupidly) gambling their life-savings on market fluctuations! Inside traders are getting theirs,while others are getting bent over and F**KED!
2006-08-21 17:16:35 · answer #2 · answered by Danny 5 · 0⤊ 1⤋