Yes certaintly idiotic. Investment is a risk, not a purchase of goods or services. This misinterpretation is despicable to see such journalism and poor education displayed that I don't want to have to respond to any such idiocy. If you have ever invested, the load is the sales tax and additional frictions as frequent as the ftt coming to EU will destroy their market just as Brazil's Bovespa FTT has. There can be no rationality if full value cannot ever be realized in the real market, and the ignorant politicians that don't have enough education will realize this soon enough as the IPO market leaves entirely.
Croatia may be ready to join FTT-11 http://kurier.at/politik/eu/brauchen-steuer-auf-finanztransaktionen/23.810.893 (in german)
Yawn (LOL).... I still say the odds are better than 50/50 that this tax isn't going to happen in the Eurozone. -Guru
Should I write a blog for Forbes rebutting the USA article with this new tack? Quick draft on iPhone. If FTT is going to be so good then apply it across the board without exception. Start with US Treasuries, municipal bonds, the Federal Reserve's bond program, and bank repurchase agreements. If Warren Buffett likes FTT, his companies should pay FTT on derivatives transactions considering that his group is one of the biggest users of derivatives. This campaign advocating for FTT reminds me of ObamaCare. Some in government and private industry advocated for ObamaCare and many later sought exemption from it. Economist James Tobin invented the FTT idea and he referred to it as "putting sand in the wheels of finance." He abandoned the FTT idea recognizing that potentially breaking down the wheels of finance was not a good idea. Taxing something usually brings less of what you tax. Advocates for FTT want to tax high-frequency trading so we have less of it. They say stopping HFT is a good thing. Well many Americans would like to see less deficit spending through federal and municipal debt. And, banks that are better capitalized with less need for overnight repurchase agreements. And, less using of derivatives which are considered to have been a player in the financial meltdown. If FTT is so smart why not start in these areas rather than focusing on mom-and-pop investor on Main Street? There is zero chance of that happening because advocates for the FTT will never take their own harmful medicine. Stop taxing the other guy and tax yourself first. Think Tank advocates don't depend on financial markets to help make a living. If everyone involved in financial markets says FTT is a bad idea why not listen to them? It can't be a good idea to put many out of business, cut income taxes and jobs. The damage to finance and the economy far offsets any delusions of grandeur in collecting FTT.
It's time for us to recognize that Liberalism is a scourge on the entire world. It has to be stopped or pain and misery will be the result for everyone except the plutocrats. Notice how many "capitalists" like Warren Buffett and Mark Cuban want to consolidate power after they've built their empires.
I see this subject started almost 5 yrs ago and no transaction tax has ever come.From the very beginning there was no way they'd ever pass this in the us. The sure beauty to sell $20 mil of ge in 1/2 a second with massive liquidity is something that can't be screwed with
http://video.cnbc.com/gallery/?play=1&video=3000193369 Powerful piece on CNBC Europe. Key takeaways; European trading volumes up 14%. France has lost 30% market share. Italy has lost 45% market share. U.K. and Germany have gained in volume, U.K. up 21%. FTT is broader than stamp duty and has the effect of taxing multiple times. Securities lending transactions would be severely impacted. FTT won't solve market glitches like recent NASDAQ problem. If you know anyone working in the industry who should know this, or would otherwise be affected by an FTT, please share this link with them.
That is a great post to save for the future, although for this particular article it's not really necessary & could be counterproductive. All along we've said our goal is to get the volume of talk on this tax down to zero. That's our victory point. The article you're referring to only has 4 reader comments (they usually get hundreds on the trans tax topic). So, very few people have even seen the article to warrant a reply. Your post is terrific to save. I've been saving my replies to articles since I started this thread & have folders of posts for each angle in rebutting it. It makes for rapid fire & well thought out replies each time the sparks to this trans tax fire start to kick up.
(google translation) LONDON - The negotiations on the introduction of a financial transaction tax in many EU countries are sluggish, according to a press report. "In Brussels, it is as impossible that such plans to introduce the year eleven EU countries and a financial transaction tax," reports the "Frankfurter Allgemeine Zeitung" (FAZ, Tuesday edition). The negotiations of countries are therefore progress is tough, they are divided over the extent and subject to the tax. http://www.ad-hoc-news.de/dpa-afx-ueberblick-konjunktur-vom-27-08-2013-17-00--/de/News/31572749