financial economics. The first part deals with the analysis of the effectiveness of currency transaction taxes within financial … determine their demands for foreign currency. The analysis comes to the result that small taxes levied on currency transactions …. The second part deals with the econometric estimation of speculative dynamics. I find empirical evidence for similar …

chapter, I develop a production-based asset pricing model predicting that excess returns of currency carry trade compensate …-commodity price covariance, procyclical interest rates, negative price of exchange rate volatility, and countercyclical currency risk …