Global imbalances and taxing capital flows
Goodhart, C., Peiris, M. U. & Tsomocos, D. P.
(2013).
Global imbalances and taxing capital flows.
International Journal of Central Banking,
9(2), 13-44.
We study a monetary economy with two large open economies displaying net real and financial flows. If default on cross-border loans is possible, taxing financial flows can reduce its negative consequences. In doing so it can improve welfare unilaterally, in some cases in a Pareto sense, via altering the terms of trade and reducing the costs of such default.
| Item Type | Article |
|---|---|
| Copyright holders | © 2013 The Author(s) |
| Departments | LSE > Research Centres > Financial Markets Group |
| Date Deposited | 19 Jun 2013 |
| URI | https://researchonline.lse.ac.uk/id/eprint/50833 |
Explore Further
- F34 - International Lending and Debt Problems
- G15 - International Financial Markets
- G18 - Government Policy and Regulation
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- https://www.scopus.com/pages/publications/84878431959 (Scopus publication)
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