Critics of Tobin tax contend that the tax is ineffective, is difficult to implement, easy to evade and that its costs far exceed the potential benefits, and all this because financial markets always outsmart policy makers.
Although a constant – albeit slight – decline in cash as a means of payment can be observed, it is still used for almost 80 percent of all transactions at the point of sale and thus continues to be the medium of choice for spending on everyday necessities.