It was promised during the Tarp debate that the financial sector would pay for it
Reader comment on: House Democrats Ready a Tobin Tax
Submitted by Lyle (United States), Nov 28, 2009 16:57
This is a mechanism to make the financial sector pay for TARP, as was promised last year. Of course only people pay taxes at the end so a good bit will get passed on. If you are a John Bogle sort of investor (index funds) or a buy and hold investor .25% is not such a big deal far less than the reduction in commissions over the last 20 years. Now an active trader does get the haircut, but the question is are active traders really good for the economy. It is active traders that lead to the next quarter expectation problem in business, why some want to go private. If you are talking a 401k and you buy and hold there, it is not a big tax either.
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