"Many concerns motivate these proposed taxes. Some people want the financial sector to pay for the tremendous economic costs that they believe it imposed on everyone in the global financial crisis of 2008. Others believe that the financial sector should bear its “fair share” of taxes; such beliefs are particularly strong in countries where financial transactions are exempt from value-added taxes and therefore “escape” taxation. Still others simply want new revenues to support additional government spending, reduce the deficit, or provide tax relief to other sectors. Finally, some commentators believe that too much financial activity focuses on short-term rather than long-term goals. They believe that a transaction tax would force investors and businesses to focus more on long-term values and less on short-term activities that they perceive to be wasteful."
"Not all taxes are economically sensible, regardless of how desirable they may appear. A transaction tax imposed at any economically meaningful rate by only some countries would cause many transactions to be shifted to other countries, resulting in far less revenue than a simple static analysis might suggest. Furthermore, to the extent that a financial transaction tax would generate substantial revenue, the tax and the associated reduction in liquidity would lower asset prices. Lower asset prices would cause decreased corporate investment, resulting in less capital per worker in the long run and thus lower wages throughout the economy. Therefore, governments should be extremely wary of introducing or increasing financial transaction taxes."