EU Financial Transaction Tax Could Slow Economy, PwC Says

Law360, New York (November 25, 2013, 6:25 PM EST) -- Several European Union countries are advocating for a tax on financial transactions, but such a measure could slow gross domestic product growth anywhere from 0.28 percent to 2.42 percent, says a report released Thursday by PricewaterhouseCoopers LLP.

PwC says that although the proposal is meant to raise revenue and reduce risk in financial markets in 11 member countries, it isn't clear whether those objectives will be achieved, particularly since costs may be transferred to final consumers rather than financial service providers and be incompatible with existing EU...
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