Instruments to be used for controlling the short time capital movements

International economic system displays a rapid changing process in which new trends occurred. The remarkable development in this process is globalization. In the recent years economic globalization has mostly been observed in financial markets. It has been accepted that the practices of International financial integration have been accelerated the period following the 90 years. In the last quarter of 20th century, many developing countries have removed the controls on the capital movements with the financial liberalization, which appeared as a result of globalization. But short term capitals have been run away as reaction to the speculative attacks or economic or politic effects. That is the main reason for economic crises in last decade.The purpose of this paper is to analyze the macroeconomic effects of short term capital movements together with their role on the recent economic crises and to find out what measures should be taken in order to prevent their negative effects. Tobin tax is seen as most discussed one of these controls. Measures such as unremunerated reserve requirements and multiple exchange rate system are amond other control means and often discussed in literature.