Efficiency and Fragile Speculative Financial Markets: Against the Tobin Tax and For a Creditable Market Maker

In: The American journal of economics and sociology, Band 57, Heft 4, S. 639-662

Abstract

Abstract This article explores the relationship between volatility in financial markets, the Tobin tax solution, and an alternative solution requiring a creditable market maker. The discussion includes whether financial markets are inherently unstable and the relevance of bandwagon movements in financial markets.