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Tax Wall St. speculative transactions to slow risk-taking speculation -- raise at least $100 billion annually.
This policy has two consequences at the macro level: on one hand, it has a certain stabilizing effects on oil and US dollar markets, limiting the number of speculative transactions and their size; on the other hand, it induces the speculators to find agreements with real economic agents, which are profitable for both parts.
They also think the tax can help deter more speculative transactions, which may provide little benefit to the real economy.
French and German policy makers see this as a "Robin Hood tax," a way of discouraging speculative transactions and raising cash from the bankers who provoked the financial crisis.
Singapore is also closer to fair value, according to The Economist's long-run average ratio of house prices to rents.The government has been trying to dampen things down by targeting speculative transactions.
The lawsuit, filed by a pair of veteran political activists from the La Jolla area of San Diego, asserts that A.I.G. and two large banks engaged in a variety of fraudulent and speculative transactions, running up losses well into the billions of dollars.
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A bear is an investor who expects prices to decline and, on this assumption, sells a borrowed security or commodity in the hope of buying it back later at a lower price, a speculative transaction called selling short.
And since this doctrine was coupled with the general prohibition on gambling transactions, Islamic law does not, in general, permit any kind of speculative transaction the results of which, in terms of the material benefits accruing to the parties, cannot be precisely forecast.
But some of it may reflect non-speculative transactions, such as foreign borrowing by Chinese firms.
It's more important to enact reforms to ensure that banks can no longer engage in primarily speculative activities or other excessively risky transactions that lead to outsize paydays.
This legislation would reinstate a tiny transaction fee on speculative stock transactions by Wall Street traders, creating $150 billion annually in new revenue that would be dedicated to job creation and reducing the deficit.
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