Yesterday, we posted about high frequency traders crowing about their high profits from Monday’s unprecedented stock market volatility.
Arguably, their methodology — hinging on fast data and low transactions’ costs — fanned the volatility flames.
I was surprised that Bernie Sanders didn’t seize the moment to say “I told you so” … and to pitch his Financial Transactions Tax.
Given the stock market bounces this week, I though it would be timely to reprise a post from a couple of weeks ago which has heightened relevance and timeliness …
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Shocker: I agree with Bernie Sanders’ Financial Transactions Tax … err. make that “half-agree”
Dem-Socialist candidate Bernie Sanders doesn’t serve up much that I agree with … but, there is one reheated idea that I half-support.
Sanders proposes that financial transactions be taxed … roughly 1/2% for most trades … slightly lower for for some categories of investments … say, Municipal Bonds.
Sanders would use the new tax proceeds to fund public college for low-income students.
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Let’s dissect the proposal … then, for what it’s worth, I’ll tell you where I agree and where I disagree …
The Homa Files 