Adopting a Currency Transaction Tax When Avoidance is a Possibility
WORKING PAPER
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In agreement with much of the literature, this paper concludes that imposition of currency taxes, even by one country unilaterally, is now feasible.
The path of bilateral adoption under the possible of avoidance is considered in detail The path of adoption is determined by economic and political factors within countries and the rate chargeable is then determined by calculating the maximum rate chargeable that doesn’t trigger avoidance.