Relaxing the international constraints on full employment. A reply

Abstract

A response to Steindl’s critique of “Relaxing the international constraints on full employment”, and in particular the authors’ proposal of the TOSTAB tax. The author argues that while TOSTAB is inferior to cooperation between surplus and deficit countries against short-term speculation, its advantage is that it can be introduced unilaterally by a single surplus country even before a multilateral agreement can be achieved. JEL: E24, F31, F41

Keywords

• Exchange rates
• Employment