In the article, “You Decide: Should Members of Congress Be Allowed to Trade Stock?”(Mcgraw Hill) I learned that in April of 2012 congress passed the STOCK Act which required members of Congress and their spouses/children to publicly announce what they have bought or sold of stock in a company. However, legislators have suggested that bills that go even further to prevent members of Congress from participating in the stock market at all. Some even go further and ban stock market trading not just for lawmakers but also for their spouses and kids as well.
Some reasons why they should not is it can be seen as unethical for members of Congress to trade stocks because they have access to confidential information. It can impact companies that lawmakers might own shares in. Other reasons they should consist of laws banning members of Congress from participating in the stock market which would treat legislators unfairly. The United States has a free-market economy. In addition, it would be open-minded if they imposed harsher penalties towards the STOCK Act for failing to report it accurately.
Do you believe that members of Congress should be allowed to trade stocks?