Just a quick thought to add to William's post about senatorial stock portfolios: Yes, some of that might be explained by senators trading on superior information, but consider a different argument. It could also be that if Senator X buys a particular stock, and if her purchase of said stock becomes known, investors assume that the industry in question, if not the particular firm, might be the benefit of favorable legislation, thus leading to a speculative politically-based run up. So what we see is not superior information causing a run-up in price, but senatorial purchases being signals about the possibility of legislatively-generated profits.
I think both explanations are in play, and that neither one is very comforting. The United States: Crony capitalism here, and abroad.
comments powered by Disqus
- Fake News and Fervent Nationalism Got a Senator Tarred as a Traitor During WWI
- Debunking Viral Story, Art Historian Says ‘Allah’ Does Not Appear on Ancient Viking Garment
- Will Trump Be Remembered as the Worst President in History? Almost Half Think So
- Thank This Man For Your Last-Minute Halloween Costume
- Letters from young Obama show a man trying to find his way
- Thomas Childers says we’ve got the Nazis wrong in 5 different ways
- National security expert Tom Nichols: “Hey, I’m unstable” is a bad look for the president
- Fake news? It’s nothing new, says Trinity College Dublin historian
- Historian discovers early Reformation writings “hiding in plain sight”
- Victor Davis Hanson says we shouldn’t be rushing to war with North Korea