Controls on short-term capital inflows or panic-driven capital outflows may benefit emerging markets that have fragile financial sectors and adjustable-peg currency regimes. However, the controls seen so far are relatively easy to evade, often complex and obscure, and supported by large...

Controls on short‐term capital inflows or panic‐driven capital outflows may benefit emerging markets that have fragile financial sectors and adjustable‐peg currency regimes. However, the controls seen so far are relatively easy to evade, often complex and obscure, and supported by large...

Re-visiting research begun a decade ago, we examine the design and implementation of a modern currency transaction tax, the original financial transaction or Tobin tax. We show how a feasible CTT can be collected, and we estimate CTT revenues and market impact based on alternative tax rates. We...