diff --git a/src/Text/Pandoc/Writers/LaTeX.hs b/src/Text/Pandoc/Writers/LaTeX.hs
index ea3d471fe..5e5567aec 100644
--- a/src/Text/Pandoc/Writers/LaTeX.hs
+++ b/src/Text/Pandoc/Writers/LaTeX.hs
@@ -152,21 +152,13 @@ stringToLaTeX = escapeStringUsing latexEscapes
 inCmd :: String -> Doc -> Doc
 inCmd cmd contents = char '\\' <> text cmd <> braces contents
 
--- | Remove all code elements from list of inline elements
--- (because it's illegal to have verbatim inside some command arguments)
-deVerb :: [Inline] -> [Inline]
-deVerb [] = []
-deVerb ((Code _ str):rest) = 
-  (RawInline "latex" $ "\\texttt{" ++ stringToLaTeX str ++ "}"):(deVerb rest)
-deVerb (other:rest) = other:(deVerb rest)
-
 -- | Convert Pandoc block element to LaTeX.
 blockToLaTeX :: Block     -- ^ Block to convert
              -> State WriterState Doc
 blockToLaTeX Null = return empty
 blockToLaTeX (Plain lst) = inlineListToLaTeX lst
 blockToLaTeX (Para [Image txt (src,tit)]) = do
-  capt <- inlineListToLaTeX $ deVerb txt
+  capt <- inlineListToLaTeX txt
   img <- inlineToLaTeX (Image txt (src,tit))
   return $ "\\begin{figure}[htbp]" $$ "\\centering" $$ img $$
            ("\\caption{" <> capt <> char '}') $$ "\\end{figure}" $$ blankline
@@ -250,14 +242,13 @@ blockToLaTeX (DefinitionList lst) = do
 blockToLaTeX HorizontalRule = return $
   "\\begin{center}\\rule{3in}{0.4pt}\\end{center}" $$ blankline
 blockToLaTeX (Header level lst) = do
-  let lst' = deVerb lst
-  txt <- inlineListToLaTeX lst'
+  txt <- inlineListToLaTeX lst
   let noNote (Note _) = Str ""
       noNote x        = x
-  let lstNoNotes = bottomUp noNote lst'
+  let lstNoNotes = bottomUp noNote lst
   -- footnotes in sections don't work unless you specify an optional
   -- argument:  \section[mysec]{mysec\footnote{blah}}
-  optional <- if lstNoNotes == lst'
+  optional <- if lstNoNotes == lst
                  then return empty
                  else do
                    res <- inlineListToLaTeX lstNoNotes
@@ -280,7 +271,7 @@ blockToLaTeX (Table caption aligns widths heads rows) = do
                 then return empty
                 else liftM ($$ "\\ML")
                      $ (tableRowToLaTeX True aligns widths) heads
-  captionText <- inlineListToLaTeX $ deVerb caption
+  captionText <- inlineListToLaTeX caption
   let capt = if isEmpty captionText
                 then empty
                 else text "caption = " <> captionText <> "," <> space
@@ -337,7 +328,7 @@ listItemToLaTeX lst = blockListToLaTeX lst >>= return .  (text "\\item" $$) .
 
 defListItemToLaTeX :: ([Inline], [[Block]]) -> State WriterState Doc
 defListItemToLaTeX (term, defs) = do
-    term' <- inlineListToLaTeX $ deVerb term
+    term' <- inlineListToLaTeX term
     def'  <- liftM vsep $ mapM blockListToLaTeX defs
     return $ "\\item" <> brackets term' $$ def'
 
@@ -355,23 +346,23 @@ isQuoted _ = False
 inlineToLaTeX :: Inline    -- ^ Inline to convert
               -> State WriterState Doc
 inlineToLaTeX (Emph lst) =
-  inlineListToLaTeX (deVerb lst) >>= return . inCmd "emph"
+  inlineListToLaTeX lst >>= return . inCmd "emph"
 inlineToLaTeX (Strong lst) = 
-  inlineListToLaTeX (deVerb lst) >>= return . inCmd "textbf" 
+  inlineListToLaTeX lst >>= return . inCmd "textbf" 
 inlineToLaTeX (Strikeout lst) = do
-  contents <- inlineListToLaTeX $ deVerb lst
+  contents <- inlineListToLaTeX lst
   modify $ \s -> s{ stStrikeout = True }
   return $ inCmd "sout" contents
 inlineToLaTeX (Superscript lst) =
-  inlineListToLaTeX (deVerb lst) >>= return . inCmd "textsuperscript"
+  inlineListToLaTeX lst >>= return . inCmd "textsuperscript"
 inlineToLaTeX (Subscript lst) = do
   modify $ \s -> s{ stSubscript = True }
-  contents <- inlineListToLaTeX $ deVerb lst
+  contents <- inlineListToLaTeX lst
   -- oddly, latex includes \textsuperscript but not \textsubscript
   -- so we have to define it (using a different name so as not to conflict with memoir class):
   return $ inCmd "textsubscr" contents
 inlineToLaTeX (SmallCaps lst) =
-  inlineListToLaTeX (deVerb lst) >>= return . inCmd "textsc"
+  inlineListToLaTeX lst >>= return . inCmd "textsc"
 inlineToLaTeX (Cite cits lst) = do
   st <- get
   let opts = stOptions st
@@ -386,7 +377,7 @@ inlineToLaTeX (Code _ str) = do
   let chr = ((enumFromTo '!' '~') \\ str) !! 0
   if writerListings (stOptions st)
     then return $ text $ "\\lstinline" ++ [chr] ++ str ++ [chr]
-    else return $ text $ "\\verb" ++ [chr] ++ str ++ [chr]
+    else return $ text $ "\\texttt{" ++ stringToLaTeX str ++ "}"
 inlineToLaTeX (Quoted SingleQuote lst) = do
   contents <- inlineListToLaTeX lst
   let s1 = if (not (null lst)) && (isQuoted (head lst))
@@ -422,7 +413,7 @@ inlineToLaTeX (Link txt (src, _)) =
         [Code _ x] | x == src ->  -- autolink
              do modify $ \s -> s{ stUrl = True }
                 return $ text $ "\\url{" ++ x ++ "}"
-        _ -> do contents <- inlineListToLaTeX $ deVerb txt
+        _ -> do contents <- inlineListToLaTeX txt
                 return $ text ("\\href{" ++ stringToLaTeX src ++ "}{") <>
                          contents <> char '}'
 inlineToLaTeX (Image _ (source, _)) = do
diff --git a/tests/lhs-test.latex b/tests/lhs-test.latex
index d34c21090..f8851900a 100644
--- a/tests/lhs-test.latex
+++ b/tests/lhs-test.latex
@@ -5,6 +5,7 @@
 \usepackage[breaklinks=true,unicode=true,pdfborder={0 0 0}]{hyperref}
 \setlength{\parindent}{0pt}
 \setlength{\parskip}{6pt plus 2pt minus 1pt}
+\setlength{\emergencystretch}{3em}  -- prevent overfull lines
 \setcounter{secnumdepth}{0}
 
 
@@ -12,7 +13,7 @@
 
 \section{lhs test}
 
-\verb!unsplit! is an arrow that takes a pair of values and combines them to
+\texttt{unsplit} is an arrow that takes a pair of values and combines them to
 return a single value:
 
 \begin{verbatim}
@@ -20,9 +21,9 @@ unsplit :: (Arrow a) => (b -> c -> d) -> a (b, c) d
 unsplit = arr . uncurry       
           -- arr (\op (x,y) -> x `op` y) 
 \end{verbatim}
-\verb!(***)! combines two arrows into a new arrow by running the two arrows on
-a pair of values (one arrow on the first item of the pair and one arrow on the
-second item of the pair).
+\texttt{(***)} combines two arrows into a new arrow by running the two arrows
+on a pair of values (one arrow on the first item of the pair and one arrow on
+the second item of the pair).
 
 \begin{verbatim}
 f *** g = first f >>> second g
diff --git a/tests/lhs-test.latex+lhs b/tests/lhs-test.latex+lhs
index 29237f820..6222866ea 100644
--- a/tests/lhs-test.latex+lhs
+++ b/tests/lhs-test.latex+lhs
@@ -7,6 +7,7 @@
 \usepackage[breaklinks=true,unicode=true,pdfborder={0 0 0}]{hyperref}
 \setlength{\parindent}{0pt}
 \setlength{\parskip}{6pt plus 2pt minus 1pt}
+\setlength{\emergencystretch}{3em}  -- prevent overfull lines
 \setcounter{secnumdepth}{0}
 
 
@@ -14,7 +15,7 @@
 
 \section{lhs test}
 
-\verb!unsplit! is an arrow that takes a pair of values and combines them to
+\texttt{unsplit} is an arrow that takes a pair of values and combines them to
 return a single value:
 
 \begin{code}
@@ -22,9 +23,9 @@ unsplit :: (Arrow a) => (b -> c -> d) -> a (b, c) d
 unsplit = arr . uncurry       
           -- arr (\op (x,y) -> x `op` y) 
 \end{code}
-\verb!(***)! combines two arrows into a new arrow by running the two arrows on
-a pair of values (one arrow on the first item of the pair and one arrow on the
-second item of the pair).
+\texttt{(***)} combines two arrows into a new arrow by running the two arrows
+on a pair of values (one arrow on the first item of the pair and one arrow on
+the second item of the pair).
 
 \begin{verbatim}
 f *** g = first f >>> second g
diff --git a/tests/writer.latex b/tests/writer.latex
index 8cf7d4887..b13f93ac4 100644
--- a/tests/writer.latex
+++ b/tests/writer.latex
@@ -28,6 +28,7 @@
 \usepackage[breaklinks=true,unicode=true,pdfborder={0 0 0}]{hyperref}
 \setlength{\parindent}{0pt}
 \setlength{\parskip}{6pt plus 2pt minus 1pt}
+\setlength{\emergencystretch}{3em}  -- prevent overfull lines
 \setcounter{secnumdepth}{0}
 \VerbatimFootnotes % allows verbatim text in footnotes
 
@@ -558,7 +559,8 @@ So is \textbf{\emph{this}} word.
 
 So is \textbf{\emph{this}} word.
 
-This is code: \verb!>!, \verb!$!, \verb!\!, \verb!\$!, \verb!<html>!.
+This is code: \texttt{\textgreater{}}, \texttt{\$}, \texttt{\textbackslash{}},
+\texttt{\textbackslash{}\$}, \texttt{\textless{}html\textgreater{}}.
 
 \sout{This is \emph{strikeout}.}
 
@@ -582,7 +584,7 @@ spaces: a\^{}b c\^{}d, a\ensuremath{\sim}b c\ensuremath{\sim}d.
 
 `He said, ``I want to go.''\,' Were you alive in the 70's?
 
-Here is some quoted `\verb!code!' and a
+Here is some quoted `\texttt{code}' and a
 ``\href{http://example.com/?foo=1\&bar=2}{quoted link}''.
 
 Some dashes: one---two --- three---four --- five.
@@ -618,14 +620,14 @@ These shouldn't be math:
 
 \begin{itemize}
 \item
-  To get the famous equation, write \verb!$e = mc^2$!.
+  To get the famous equation, write \texttt{\$e = mc\^{}2\$}.
 \item
   \$22,000 is a \emph{lot} of money. So is \$34,000. (It worked if ``lot'' is
   emphasized.)
 \item
   Shoes (\$20) and socks (\$5).
 \item
-  Escaped \verb!$!: \$73 \emph{this should be emphasized} 23\$.
+  Escaped \texttt{\$}: \$73 \emph{this should be emphasized} 23\$.
 \end{itemize}
 Here's a LaTeX table:
 
@@ -777,7 +779,8 @@ An e-mail address:
 Blockquoted: \url{http://example.com/}
 
 \end{quote}
-Auto-links should not occur here: \verb!<http://example.com/>!
+Auto-links should not occur here:
+\texttt{\textless{}http://example.com/\textgreater{}}
 
 \begin{verbatim}
 or here: <http://example.com/>
@@ -815,8 +818,8 @@ Here is a footnote reference,\footnote{Here is the footnote. It can go
   indent the first line of each block.} This should \emph{not} be a footnote
 reference, because it contains a space.{[}\^{}my note{]} Here is an inline
 note.\footnote{This is \emph{easier} to type. Inline notes may contain
-  \href{http://google.com}{links} and \verb!]! verbatim characters, as well as
-  {[}bracketed text{]}.}
+  \href{http://google.com}{links} and \texttt{{]}} verbatim characters, as
+  well as {[}bracketed text{]}.}
 
 \begin{quote}
 Notes can go in quotes.\footnote{In quote.}