LSAT 148 | Section 2 | Reading Comprehension: Q14

RC Question 14 Explanation

DISCUSSION: A lot of the wrong answers on this one are things that are answered in the passage, but aren’t the main point. You’re not just looking for “questions the passage answers”. This is a primary purpose question.

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1. Both passages define insider trading, but that doesn’t mean that’s the whole point of the passage. This question is asking for the primary concern of the passages.
2. This is a different question. The passages are arguing about whether insider trading should be illegal or not. They don’t discuss severity of punishments.
3. The answer to why investors do insider trading is obvious: because they can make a profit. Neither passage spoke at length on this; there’s no need.
4. CORRECT. This is the central focus of each passage. Passage A makes the case that insider trading is actually helpful. Passage B argues that insider trading makes it harder to raise capital in the stock market.
5. This isn’t covered. And, it would be an odd topic for passage A, since they don’t want to regulate insider trading.