Tobin Tax. Transaction taxes we use the term financial transaction taxes ftt. A tax on short term speculation was proposed also by keynes 1936 and advocated by among others stiglitz 1989 and summers and summers 1989 who argue for its benefits even if it reduces market liquidity.
In theory this prevents destabilising swings in currencies. A tobin tax is designed to deter only speculative flows of hot moneymoney that moves regularly between financial markets in search of high short term interest rates. In 1972 he proposed a tax.
In the 1970s james tobin suggested a small tax on currency trades to ward off such eventualities to decrease speculation and to promote more long term investing.
Economists say tobin taxes would raise vital funds to help support global poor and tackle climate crisis published. Ensuring timely payment of corporate tax liabilities for allocated entities as and when they arise throughout the year with assistance and advice from external tax advisors if necessary ownership of non standard tax compliance matters such the international movement of capital rules and treasury withholding tax based compliance such as double tax treaty passports where these relate. The idea is that by increasing the marginal cost of currency transactions it reduces the incentive to speculate on currency movements. The purpose of such a tax would be to reduce destabilizing trades and the order of magnitude proposed is.