1. Global strategies
  2. Taxing currency exchange transactions

Taxing currency exchange transactions

Description

Taxing currency exchange transactions involves imposing a small levy on the conversion of one currency into another. The primary intent is to curb excessive speculation, reduce market volatility, and generate public revenue. This strategy aims to stabilize financial markets, discourage destabilizing short-term capital flows, and provide funds for global public goods or development initiatives, thereby addressing issues such as financial instability and insufficient resources for international development.This information has been generated by artificial intelligence.

Claim

Ninety-five percent of the foreign exchange transactions in London have nothing to do with trade in real goods and services. A tax on currency exchange transactions (of say 1% of their value) would encourage people to invest their savings in enterprises and activities in which work, including their own work, plays a major part. The attractions of speculative capital gain will be reduced; import substitution and greater economic self-reliance will be promoted.

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Metadata

Database
Global strategies
Type
(D) Detailed strategies
Subject
Content quality
Yet to rate
 Yet to rate
Language
English
1A4N
J1928
DOCID
12019280
D7NID
198556
Editing link
Official link
Last update
Dec 3, 2024