I found a very well written paper I want to share from the Adam Smith Institute discussing tax on financial transactions. It is not very supportive of a "Tobin" tax obviously. Neither am I. However I think this paper provides an excellent discussion and could even be read by those who support such a tax.
Quotes:
"Sweden is the only country to have tried a “pure” Tobin tax, of 0.5%. It raised only one thirtieth of the proceeds predicted by its proponents and was scrapped after five years. The taxes sparked an exodus of financial activity from Sweden."
"The claim that £20 billion (expected income from a tax, my comment) annually can be removed from the UK financial sector without causing significant disruption is both illadvised and reckless. This recklessness is augmented by the fact that we are emerging from one of the most accentuated cycles of boom and bust to date."
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