When company executives buy and sell stock basedon private information that they obtain as part oftheir jobs, they are engaging in insider trading.a. Give an example of inside information that mightbe useful for buying or selling stock.b. Those who trade stocks based on insideinformation usually earn very high rates ofreturn. Does this fact violate the efficient marketshypothesis?c. Insider trading is illegal. Why do you supposethat is?

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