Senior Economics Writer and Member of the Editorial Board of the Wall Street Journal
Not Clearly Pro or Con to the question "Should Insider Trading by Congress Be Allowed?"
"...[A]dvocates of insider-trading laws are probably irate at this proposition of mine to legalize insider trading, because insider trading 'hurts the mom-and-pop investor.' They also say that we need to enforce this law to maintain the integrity and the public confidence of the financial markets. Baloney. The market fell - didn't rise - on the news of Martha Stewart's conviction. If investors believe that the SEC [US Securities Exchange Commission] can throw you in jail for making trades that can be construed by a federal prosecutor as based on 'insider information,' this has a chilling effect on the financial markets and all stocks are hurt. That means all investors are also hurt..."
"What's Wrong with Insider Trading? The Railroading of Martha Stewart," National Review Online, Mar. 9, 2004