We study insider trading in a dynamic setting. Rational, but uninformed, traders choose between investment projects with different levels of insider trading Insider trading distorts investment toward assets with less private information. However, when investment is sufficiently information...

Typically, venture capital contracts feature stage financing where both parties commit to prohibiting {\em de novo} financing at each stage. The objective of this paper is to explain how these long--term contracts deal with entrepreneurial short--termism. We study an environment where...

We study insider trading in a dynamic setting. Rational, but uninformed, traders choose between investment projects with different levels of insider trading. Insider trading distorts investment towards assets with less private information. However, when investment is sufficiently information...