International Readers Report
HOW ABOUT A HIGHER TAX FOR NONOPERATING PROFIT?
Regarding your article "Would a tax on currency speculators calm the market?" (Economic Trends, July 11), James Tobin's suggestion to impose a tax on international currency transactions drew my attention.
At the least, governments should tax nonoperating profit--including foreign exchange profit--at a higher rate than operating profit. Governments could pool the taxes on such nonoperating profit and make a remittance to a special account of the IMF or the World Bank.