Taxing Financial Transactions
4 Pages Posted: 21 Feb 2013
Date Written: February 15, 2013
Should financial transactions be taxed? The European Commission seems to think so. Cheered on by many economists, it presents the tax as a means to raise revenue, curb speculation and increase financial stability. This column argues that a financial transaction tax will meet none of these goals. Financial stability will not improve, and net revenue may be negative.
Keywords: Financial regulation, stock markets, transaction taxes
JEL Classification: G18
Suggested Citation: Suggested Citation