Can short-term capital controls promote capital inflows?

In an economy à la Diamond and Dybvig [J. Polit. Econ. 91 (3) (1983) 401], we present an example in which foreign lenders find it profitable to invest in an emerging market if, and only if, the emerging market government imposes taxes on short-term capital inflows. This implies that capital controls that are effective in reducing the vulnerability of emerging markets to financial crises may increase the volume of capital inflows.