The Major Difficulty in Most Insider-Trading Cases Has Been

question 28

Multiple Choice

The major difficulty in most insider-trading cases has been

• A) that lenient judges have simply released the guilty individuals.
• B) that insider trading, even though illegal, actually serves a beneficial economic and financial purpose.
• C) that inside trades have not been legally well-defined.
• D) that it is hard to figure out which owner(s) benefited from the trade.

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Definitions:

Weiner's Model

A theory of motivation and emotion in psychology that categorizes the causes of success and failure along dimensions of stability, locus of control, and controllability.

External-Unstable

An attributional style where an individual believes that the cause of events is due to changeable, external factors.

Outgroup

A social group to which an individual does not identify or belong, often seen as fundamentally different or apart from one's in-group.

Ingroup

A social group to which an individual feels they belong, often leading to favoritism towards group members and discrimination against those not in the group.