Is a Robin Hood Tax What We Need?

The Robin Hood tax, a financial speculation tax, may be the answer to the 99 percent concerns. If Congress were to pass this tax, it would supposedly raise more than $350 billion between January 2013 and 2021 and would reach the Super Committee’s budget deficit goal in savings of $1.3 trillion, as well as enable future federal investments.

Last week, Senator Harkin, introduced this bill, which is formally known as the Wall Street Trading and Speculators Tax Act. According to Harkin, he claims this bill to be “commonsense that provides a viable solution” to job creation, education, and debt reduction.

This tax would primarily be aimed at high-speed traders who deal with Wall Street financial products, ranging from stocks, bonds, foreign currency bets, and derivatives. According to several leaders opinions of this bill expressed at last week’s G-20 summit, many are in favor of this passing and seem to be convinced that the needed revenue for “our cash strapped federal government” will be created. Therefore, if the passing of this bill relies at all on the attitudes and thoughts of this tax and the US federal government is genuinely looking for a feasible solution, then it seems to be strongly suggested that the Robin Hood tax be promulgated.