The US Chamber of Commerce’s Center for Capital Markets Competitiveness has released a new report detailing how a financial transaction tax would hurt US taxpayers, investors, and consumers. Such taxes have been proposed and highly touted by Democratic presidential candidates Bernie Sanders and Kamala Harris.
“Main street will pay for the tax, not Wall Street,” wrote the report’s author, James Angel, an associate professor of finance at Georgetown University.
“It won’t punish bad actors or prevent the next financial crisis, or even tame market volatility,” he continued. “Instead, it will punish all Americans through depressed asset values, making saving enough for retirement even harder.”
Angel also said it could result in higher consumer prices, fewer jobs, and damaged financial markets.