As part of their negotiations over the "fiscal cliff," the Administration should advocate for inclusion of a Financial Transactions Tax to raise revenue. Such a tax would have the following benefits:
- A 0.25% tax could raise up to $350 billion in revenue annually.
- The tax would decrease high-frequency trading and speculation that cause volatility in the market.
- A tax could help prevent market runs and stabilize the market.
- Revenue created can be used to balance out the massive bailouts to the financial sector that were provided by the US Government.



