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Good enforcement isnt impossible. Improbable, yes. Every trade has to be disclosed. There isn't a block-chain involved, but their is an e-paper trail. We are o

Good enforcement isnt impossible. Improbable, yes. Every trade has to be disclosed. There isn't a block-chain involved, but their is an e-paper trail. We are on a technology forum in a time where ten people could probably put together a domain model that tracks potential conflicts based on peoples trades, google contacts, and linkedin profile. And any person who traded on insider information in the past probably leaves a pattern.

economist6373 5y ago
Fine, this feels needlessly pedantic but let me correct myself. Good enforcement is impossible without subjecting anybody trading stocks and everybody they know to a completely unprecedented level of surveillance. This would have to go far beyond the wildest Snowden revelations. Perhaps not completely impossible in theory, but absolutely infeasible in practice. Building such a system would also be likely to result in far greater chilling effects on the markets than insider trading ever could.
- JumpCrisscross 5y ago
  > enforcement is impossible without subjecting anybody trading stocks and everybody they know to a completely unprecedented level of surveillance Why? Just look for a pattern of abnormal returns. (Hint: the SEC does this.) It's much easier to check for insider information after the fact than it is to profitably trade on it.
  - economist9374 5y ago
    >(Hint: the SEC does this.) Does it work? (Hint: no) > It's much easier to check for insider information after the fact than it is to profitably trade on it. This is only true for the least sophisticated insider traders.