I was trying to understand Kyle'e Theorem 1 in page $1319$ in Continuous Auctions and Insider Trading in 1985. As we can see by the proof, this factor $\beta=\frac{1}{2\lambda}$ refers to the coefficient of $v$ of the quantity demanded $X(v)$, which in essence is the strategy of the insider trader. I have some questions that are the following.
- Could we assume that this is the slope of the linear strategy?
- Is this $\beta$ the inverse function of the insider's price impact and thus the slope and the price impact have an inverse relation to the slope of the insider's linear strategy?
- In the sequel of the paper this $\beta$ becomes $\beta_n$, for instance see in page $1322$, in Theorem 2 (relation $3.11$). Does this $\beta_n$ have the same interpretation with $\beta$, but instead we observe it in sequential auction model?
- In papers that use the dynamic (sequential auction model) or the continuous model of Kyle, the interpretation of the factors is the same as in Kyle? For instance in the paper of Holden and Subrahmanyam (1992).