The World Price of Insider Trading
The World Price of Insider Trading ArXiv ID: ssrn-249708 “View on arXiv” Authors: Unknown Abstract The existence and the enforcement of insider trading laws in stock markets is a phenomenon of the 1990s. A study of the 103 countries that have stock markets re Keywords: Insider Trading Laws, Market Regulation, Investor Protection, Legal Enforcement, Stock Market Efficiency, Equities Complexity vs Empirical Score Math Complexity: 2.5/10 Empirical Rigor: 8.0/10 Quadrant: Street Traders Why: The paper relies on descriptive statistics, international asset pricing factor models, and regressions with country-level controls, which involve standard empirical finance methods rather than advanced mathematics. However, it demonstrates high empirical rigor by compiling a comprehensive dataset from 103 countries, using multiple econometric approaches to address the research question, and focusing on measurable outcomes like cost of equity. flowchart TD A["Research Goal<br>What is the world price of<br>insider trading laws?"] --> B["Methodology<br>Econometric analysis of 103 countries"] B --> C["Data Inputs<br>Stock market returns<br>Enforcement indicators"] C --> D["Computational Process<br>Regression analysis of market efficiency"] D --> E["Key Findings<br>Insider trading laws increase<br>market liquidity and efficiency"] E --> F["Outcome<br>Stronger legal enforcement<br>improves equity markets"]