Abstract
The collapse of prominent companies coupled with the increasing number of lawsuits against the directors of the companies for wrongdoing has raised concerns with insider trading activities. Insider trading does cause significant market reaction, whereby the insiders are able to earn significant cumulative abnormal returns for both purchases and sales. However, studies on the factors influencing insider trading are relatively scarce. This study aims to examine the factors that influence insider trading activities. Specifically, this study examines the relationship between four corporate governance factors, namely, board independence, board size, executive compensation and ownership concentration and insider trading activities in public listed companies in Malaysia. This study evinces that board size and executive compensation significantly influence insider purchases. On the other hand, significant market reaction caused by insider sales may be explained by other factors. Therefore, future studies could be carried out on other factors that may influence opportunistic insider sales. This study also found evidence against the semistrong form Efficient Market Hypothesis theory that suggests insiders cannot earn abnormal returns in a semi-strong efficient market using public information
Highlights
Defense budget and economy are two variables that mutually reciprocal
Defense spending not depress economic growth and the traditional threat did not leave a negative effect on growth
With the mutual relations, increasing the defense budget influenced by improving the economy, and the economic improvement is affected by the safe atmosphere of business
Summary
Defense budget and economy are two variables that mutually reciprocal. Without defense it would appear threat, so the economy can not run properly. Defense budget can only be improved if the national income increasing. The budget for national defense is one of the important government's policy. There are two arguments for the impact of defense spending. The relation of government spending on defense with economic has been studied with a wide range of economic model, but the result is still contradictory for certain, whether military spending support or depress the economy. This study will analyze the influence of government spending on defense to national economics toward economic growth. The results will be analyzed and could be developed for better national defense planning policy
Sign-in/Register to view highlights & summary Sign-in/Register to access full text options 
Free) 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a call
