Finance

Financial Transaction Tax Tanks in France

In response to the trendy levy, investors just shifted gears into unaffected instruments

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One suggestion that has gained popularity in the post-crisis regulatory debate is a tax on financial transactions.

Proponents suggest that the tax would raise revenues for governments (at a time when such revenues are badly needed) and curb the excessive speculation that contributed to the global financial crisis.

In August 2012, France became the first eurozone nation in the wake of the financial crisis to implement such a tax, and so far, it's been a total failure.