Amazing politicians in this country can even bring a tax like this up and get a hearing. This is pure socialism. Socialism did not make the United States the greatest financial power in the world. Socialism has not worked anywhere. It should scare us to death the government wants to wipe out speculation.
Capitalism involves speculation. If you open a lemonade stand you are speculating. Any business endeavor you enter into you are speculating. Guess what there is risk and you might lose everything you put in. Should we tax people for opening up lemonade stands in order to protect them from a "socially unproductive" activity that is just to risky. Should governments make those decisions for us.
Trading is no different than any other business it just happens at a faster pace. You buy and you sell to make a profit. Holding a stock position for 5 years is no more "socially productive" than short term trading. It is the same a buy and a sell just different time frames. I could buy ingredients for my lemonade stand and sell all the lemonade the same day or I could hold it with the intent that it could be worth more down the road. Both are the same activity. Both are out to produce a profit. It can be argued that the least risky of the two methods is to buy and sell all the lemonade on the same day. Who is the greater speculator in the markets the short term trader or the buy and hold crowd. Both are speculating but who is taking the most risk. I would argue to to stay overnight in the market is very risky. Of course pundits would say yes but to hold over long periods of time will come out better. That got proven wrong over the last few years. People were destroyed by holding on to long. Looks like 401k's are pretty speculative.
Speaking of "socially productive" who defines what is socially productive. Are most business "socially productive' No way most are in business to make money. If I sell video games is my business socially unproductive. If it is should the government be so concerned with my well being that they put roadblocks to steer me to something more socially productive.
This attitude we see cropping up is more than about trading. It is much bigger than trading. It is about people who want to control all our lives. Our government is under control by a majority who believe they should make decisions for us. That we are to stupid to know what is best. They believe they should steer us toward what they think is a productive activity.
What happened to the land of the free? What happened to being able to choose my own path.
If they wipe out speculation they keep us all mired at the bottom. Reality is they don't want anyone to get ahead. Speculation is how you get ahead. Every great business in America was built by someone speculating. By someone taking a chance. By risking something in order to have a shot at gaining something greater.
We need to fight this tooth and nail because it goes way beyond trading. It goes to the core to what built this nation.
Freedom
If we don't fight it they will happily drag this nation into a social welfare state.
Okay enough of my diatribe.
Capitalism involves speculation. If you open a lemonade stand you are speculating. Any business endeavor you enter into you are speculating. Guess what there is risk and you might lose everything you put in. Should we tax people for opening up lemonade stands in order to protect them from a "socially unproductive" activity that is just to risky. Should governments make those decisions for us.
Trading is no different than any other business it just happens at a faster pace. You buy and you sell to make a profit. Holding a stock position for 5 years is no more "socially productive" than short term trading. It is the same a buy and a sell just different time frames. I could buy ingredients for my lemonade stand and sell all the lemonade the same day or I could hold it with the intent that it could be worth more down the road. Both are the same activity. Both are out to produce a profit. It can be argued that the least risky of the two methods is to buy and sell all the lemonade on the same day. Who is the greater speculator in the markets the short term trader or the buy and hold crowd. Both are speculating but who is taking the most risk. I would argue to to stay overnight in the market is very risky. Of course pundits would say yes but to hold over long periods of time will come out better. That got proven wrong over the last few years. People were destroyed by holding on to long. Looks like 401k's are pretty speculative.
Speaking of "socially productive" who defines what is socially productive. Are most business "socially productive' No way most are in business to make money. If I sell video games is my business socially unproductive. If it is should the government be so concerned with my well being that they put roadblocks to steer me to something more socially productive.
This attitude we see cropping up is more than about trading. It is much bigger than trading. It is about people who want to control all our lives. Our government is under control by a majority who believe they should make decisions for us. That we are to stupid to know what is best. They believe they should steer us toward what they think is a productive activity.
What happened to the land of the free? What happened to being able to choose my own path.
If they wipe out speculation they keep us all mired at the bottom. Reality is they don't want anyone to get ahead. Speculation is how you get ahead. Every great business in America was built by someone speculating. By someone taking a chance. By risking something in order to have a shot at gaining something greater.
We need to fight this tooth and nail because it goes way beyond trading. It goes to the core to what built this nation.
Freedom
If we don't fight it they will happily drag this nation into a social welfare state.
Okay enough of my diatribe.
!