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Bernie Sanders has an interesting idea based on some research done by economist. He calls it the "Robin Hood Tax". Essentially you charge a small fee whenever
by 1971genocide 11y ago
Bernie Sanders has an interesting idea based on some research done by economist.
He calls it the "Robin Hood Tax". Essentially you charge a small fee whenever any trade happens in the market.
The opponents of this idea state that it will prevent the market from being efficient as trading would slow down - undermining the Efficient Market Hypothesis.
However his argument is that a small enough charge will not prevent genuine investor from trading and just discourage the speculative traders.
- mandeepj 11y agoThere is already a trading fee which equates to 'Robin hood tax'. Each platform has their own number for e.g. scottrade charges $7 for each buy and sell. I think HFT traders don't pay that fee for each trade. HFT is just evil. Direction less buy\selling based on the trend that is currently prevalent in the market.