Democratic Lawmakers To Introduce Financial Transactions Tax

Sen. Tom Harkin (D-IA) and Rep. Peter DeFazio (D-OR) today plan to introduce a bill that would impose a tiny tax on financial transactions. The 0.03 percent tax on financial trades is meant to “give the United States an increased role in the international debate over a transaction tax, which is likely to be discussed at the Group of 20 summit this week in Cannes, France.” The call for a financial transactions tax has been embraced by the Occupy Wall Street protesters, the nation’s largest nurses’ union, the governments of France and Germany, and even the Archbishop of Canterbury. A small tax on transactions would hardly be felt by ordinary investors, but could raise significant revenue and slow down some of the high frequency trading that mega-banks like Goldman Sachs employ to churn up quick profits.