Would Bernie Sanders Kill Trading As We Know It?

And then you have people that call themselves economists - like Krugman - backing the free money for all approach. Clearly, getting a Nobel in economics is the modern day equivalent of your kids soccer participation trophy.

Hence the degradation of quality... Well i hope the efficient society should sort out any imbalances like the efficient market sorts out the extreme imbalances like Climaxes, etc...
 
All the US politicians have stopped talking about paying bills in the last decade. There is never discussion of what something costs and how we need to pay for it. It's turned into this one way street of ever more promises of easier and easier lives for no effort, all while finding your appropriate "victim status" to print on your cardboard sign. You could be female or a minority and be a victim there, but these days just making less money makes you a victim of income inequality.

I guess that's the politician's plan. Create exponentially more "victims" then convince them that they are the only one to help them. In the 90's I knew high level politicians that admitted to me privately that the US gov't very often put out contracts that it knew would fail, but the payments to the vendors and employees were aiding the economy. The Sanders-like behavior today makes that kind of activity look almost altruistic and benign.
 
Hi,

Im based in the UK so probably not up to speed as much as many of the US based people on the forums re: the US elections.

Looking at Bernie's policies though, things like a financial transaction tax would kill day trading as trading commissions would increase ten fold. A futures contract with a face value of 100k per 1 lot (fairly typical) you be an additional $5-$10 a round turn. So around $12 a round turn for discounted professional traders. Probably $15-$18 for retail traders.

This would eliminate all forms of spread trading and intraday trading as a viable option.

The lack of liquidity in the markets would be staggering. I won't go in to the damage this will cause to the US economy as a whole as institutions will find it far far harder to hedge exposure. Believe it or not.. futures markets arent just there as our play thing, they serve a vital hedging tool (over 98% of the largest 500 companies in the world use futures as a hedging tool) which will now lose all liquidity as short term traders find trading too expensive.

Then add in all the "Wall Street Taxes" and brokers and clearers will pass this on to investors. So not just day traders but fees will go up dramatically on your pension plans and mortgages and any other form of credit as hedging costs go through the roof.

Here in the UK we always look to America as a shining light of free markets and "go and get your dream" but this Bernie Sanders guy looks a really serious threat.

Ive been a prop trader in Europe here for 10 yrs. But i know there are guys that have been around the trading block for decades and decades. What your take on things?

Thanks
Up until 2008, I never really took much interest in politics. Now, Im a hard right winger thanks to Barack Obama, Nancy Pelosi, and Harry Reid- The Liberal Gestapo.
 
And then you have people that call themselves economists - like Krugman - backing the free money for all approach. Clearly, getting a Nobel in economics is the modern day equivalent of your kids soccer participation trophy.

yes fully agree. And it all becomes very odd in that the Nobel is awarded in Sweden and Norway with some committees and offices in Finland and that these countries may have gotten some degree of added social democracy into capitalism correct, yet they award Nobel Prizes in Economics to mostly US hardcore socialists whom have no influence at all on Scandinavian models.

One has to really wonder who funds/manages/runs the Nobel foundations and award mechanisms and why it still exists in its present form (surprised it hasn't been moved to NY long ago)??? It is not only meaningless but quite propagandist.
 
  • Like
Reactions: ktm
yes fully agree. And it all becomes very odd in that the Nobel is awarded in Sweden and Norway with some committees and offices in Finland and that these countries may have gotten some degree of added social democracy into capitalism correct, yet they award Nobel Prizes in Economics to mostly US hardcore socialists whom have no influence at all on Scandinavian models.

One has to really wonder who funds/manages/runs the Nobel foundations and award mechanisms and why it still exists in its present form (surprised it hasn't been moved to NY long ago)??? It is not only meaningless but quite propagandist.

Maybe Google it an you will understand more of it.
 
Up until 2008, I never really took much interest in politics. Now, Im a hard right winger thanks to Barack Obama, Nancy Pelosi, and Harry Reid- The Liberal Gestapo.

I might have entertained the Democrats viewpoint but one day I saw their spokeshole Carville in action... it revealed so much about the character of a party that would talk like that, argue on that moronic level, that I decided that no way could I vote for that trash... I haven't found any reason to vote for them ever since
 
Maybe check the Piketty theory. This theory attacks capitalism. According to that theory the part of salaries in GNP shrinks. Reality is that in all European countries the part of salaries in GNP ROSE! between 2007 and 2015. So just the opposite of what Piketty is telling is true for ALL Europe. Only for the US and for the UK the theory of Piketty is correct.

View attachment 161836
That's a good point, I didn't know about this data, but we're talking about the U.S. in this particular case, so I still think that Bernie's ideas make some sense.
 
Back
Top