The Intractable Problem of Tax Havens
His proposed solution involves three elements. One is the creation of a global financial register, modeled on existing information depositories such as Clearstream, to keep track of who owns all the financial securities in circulation throughout the world. This would include data on the ownership of mutual fund shares, as well as stocks and bonds.
.. Wall Street and the City of London are major players in an industry that the American and British governments publicly condemn. While their elected officials may bemoan revenue losses from tax evasion, these countries are playing a double game, facilitating that evasion through their own financial-services industries.
.. For those two nations in particular, cracking down on international tax evasion would deal a serious blow to their economies. The interest groups representing finance wield a great deal of political power
.. Considering the political influence of the firms and professional groups who orchestrate tax evasion on a global scale, it seems very unlikely that an effective strategy could be developed through democratic means.