Discouraging Quote by Robert Pollin
“One measure for promoting both stability and fairness across financial market segments is a small sales tax on all financial transactions - what has come to be known as a Robin Hood Tax. This tax would raise the costs of short-term speculative trading and therefore discourage speculation. At the same time, the tax will not discourage "patient" investors who intend to hold their assets for longer time periods, since, unlike the speculators, they will be trading infrequently.”
About This Quote
Source Speech: Policy Proposal, Robin Hood Tax, 2010
A modest tax on all financial trades can curb short‑term speculation while sparing long‑term investors, promoting market stability and fairness
In simple terms: Small tax on trades reduces speculation but not patient investing
Key Takeaway
Implement a modest transaction tax to deter speculative trading
Themes
finance
fairness
stability
tax policy
Mood
concerned
analytical
Type
policy
economic
financial
When to use this quote
- regulatory reform
- investment strategy
- public policy debate
- financial market design
Key Concepts
speculation
market efficiency
redistributive taxation
Questions to Reflect On
- How can we balance market efficiency with fairness?
- What safeguards prevent tax avoidance?
A Different Perspective
May reduce liquidity for legitimate short‑term hedging; could be evaded via offshore trades
![“[High income tax rates] not only check consumption but discourage investment and encourage...the avoidance of taxes [rather] than the production of goods.[...]Our present tax system...reduces the financial incentives for personal effort, investment, and risk-taking.” quote by John F. Kennedy](https://sms4smile.com/quotes/img-quotes/d3c/john-f-kennedy-246_avoidance_high-income-tax-rates-not-only-check-con_1252162.jpg)
