RELATIONSHIP OF ANTI MONEY LAUNDERING INDEX WITH GDP, FINANCIAL MARKET DEVELOPMENT, AND HUMAN DEVELOPMENT INDEX
Sažetak
Money laundering has a direct impact, among other things, on the economic development of a country. The aim of this research is to determine the correlation between money laundering and economic development expressed through GDP, as well as between financial market development (FDI) and the Human Development Index (HDI). The results of the research show that there was a significant relationship between the observed variables, i.e. that there is a relation of the Anti-Money Laundering Index (AMLI) on GDP, financial market development, and the HDI. Namely, given that medium-strong links between the observed variables have been established, it can be claimed that there is reason to believe that “copying the behaviour” of a certain country in the fight against money laundering can further develop the financial market, influence human development or an increase in GDP per capita. In particular, a decrease in the AMLI was expected to increase the FDI (R2 = 0.2601). A decrease in the AMLI was expected to increase the HDI (R2 = 0.5747). In that way, financial institutions are directly affected, which negatively relates to economic and political stability.
Reference
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Mekinjić, B., Grujić, M., & Vujičić-Stefanović, D. (2020). Uticaj digitalizacije i tehnoloških inovacija na finansijskom tržištu na razvijenost finansijskog tržišta. Ekonomika preduzeća, 68(3-4), 269-279.
National Bureau of Economic Research (2018). International finance. Cambridge: Massachusetts. Retrieved April 28, 2019, from URL: https://www.nber.org/data/international-finance/FinDev.xlsx
Natoli, R., & Zuhair, S. (2011). Measuring progress: A comparison of the GDP, HDI, GS and the RIE. Social Indicators Research, 103(1), 33-56.
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Sahay, R., Čihák, M., N'Diaye, P. & Barajas, A. (2015). Rethinking financial deepening: Stability and growth in emerging markets. Revista de Economía Institucional, 17(33), 73-107.
Salinger, L. M. (Ed.). (2005). Encyclopedia of white-collar & corporate crime (Vol. 1). New York: SAGE Publications.
Shah, S. (2016). Determinants of human development index: A cross-country empirical analysis.
Stancu, I. & Rece, D. (2009). The Relationship between Economic Growth and Money Laundering – a Linear Regression Model. Theoretical and Applied Economics, 9(538), 3-8.
Šikman, M. (2011). Organizovani kriminalitet. Banja Luka: Visoka škola unutrašnjih poslova.
Tanzi, V. (1997). Macroeconomic implications of money laundering. In E. U. Savona (Ed.), Responding to Money Laundering, International Perspective, (91-104). Amsterdam: Harwood Academic Publishers.
Teichmann, M. F. (2019). Recent trends in money laundering and terrorism financing. Journal of Financial Regulation and Compliance 27(1), 2-12. https://doi.org/10.1108/JFRC-03-2018-0042
Tiwari, M., Gepp, A. & Kumar, K. (2020). A review of money laundering literature: the state of research in key areas. Pacific Accounting Review, 32(2), 271-303. https://doi.org/10.1108/PAR-06-2019-0065
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Vuković, S., Mijalković, S. & Bošković, G. (2016). Police Role in Local Crime Prevention–Experiences From Serbia. In G. Meško & B. Lobnikar (eds.), Criminal Justice and Security in Central and Eastern Europe, (117-127). Ljubljanja: Faculty of Criminal Justice and Security.
World econimic Forum. (2018). Readiness for the Future of Production Report. Retrieved October 10, 2020, from www.weforum.org
Aluko, A. & Bagheri, M. (2012). The impact of money laundering on economic and financial stability and on political development in developing countries: The case of Nigeria. Journal of Money Laundering Control 15(4), 442-457. https://doi.org/10.1108/13685201211266024
April, D. H. & Grasso, A. M. (2001). Money laundering. American Criminal Law Review, 38(3), 1051-1080.
Araujo, R.A. & Moreira, T.B. (2005). An Inter-Temporal Model of Dirty Money, Journal of Money Laundering Control, 8(3), 260-262. https://doi.org/10.1108/13685200510700552
Ayodeji, A. & Mahmood, B. (2012). The impact of money laundering on economic and financial stability and on political development in developing countries: The case of Nigeria. Journal of Money Laundering Control, 15(4), 442–457.
Cihak, M., Demirgüç-Kunt, A., Feyen, E. & Levine, R. (2012). Benchmarking financial systems around the world. Policy Research Working Paper 6175. Washington: The World Bank. Retrieved October 20, 2020, from https://www.researchgate.net/publication/255697804_Benchmarking_Financial_Systems_Around_the_World
Dabla-Norris, M. E. & Srivisal, M. N. (2013). Revisiting the link between finance and macroeconomic volatility, Working Paper No. 13/29. Retrieved October 22, 2020, from https://www.imf.org/en/Publications/WP/Issues/2016/12/31/Revisiting-the-Link-Between-Finance-and-Macroeconomic-Volatility-40284.
Demirgüç-Kunt, A. & Levine, R. (2009). Finance and inequality: Theory and Evidence. Working Paper 15275. Cambridge, MA: National Bureau Of Economic Research. Retrieved October 10, 2020, from https://www.nber.org/system/files/working_papers/w15275/w15275.pdf
Financial Action Task Force on money laundering [FATF]. (2020). What is Money Laundering? Paris: Financial Action Task Force. Retrieved October 10, 2020, from https://www.fatf-gafi.org/faq/moneylaundering/.
Grujić, M., & Šikman, M. (2020). Certain manifestation forms and proving money laundering in the emerging market. Acta Economica, 18(32), 175-201. https://doi.org/10.7251/ACE2032175G
Idowu, A. & Obasan, K. A. (2012). Anti-money laundering policy and its effects on bank performance in Nigeria. Business Intelligence Journal, 5(2), 367-373.
International Centre for Asset Recovery. (2020). Basel AML Index 2019 A Country Ranking And Review Of Money Laundering And Terrorist Financing Risks Around The World. Retrieved September 22, 2020, from https://baselgovernance.org/sites/default/files/2019-08/Basel%20AML%20Index%202019.pdf
International Monetary Fund. (2020). International Monetary Fund - Homepage. Retrieved from GDP per capita, current prices U.S. dollars per capita: https://www.imf.org/external/datamapper/NGDPDPC@WEO/OEMDC/ADVEC/WEOWORLD
Islam, S. (1995). The human development index and per capita GDP. Applied Economics Letters, 2(5), 166-167.
Issaoui, F., Hassen, T. & Wassim, T. (2017). The effects of money laundering (ML) on growth application to the Gulf countries. International Journal of Cyber Warfare and Terrorism (IJCWT), 7(1), 13-24. https://doi.org/10.4018/IJCWT.2017010102
Jullum, M., Løland, A., Huseby, R. B., Ånonsen, G. & Lorentzen, J. (2020). Detecting money laundering transactions with machine learning. Journal of Money Laundering Control 23(1), 173-186. https://doi.org/10.1108/JMLC-07-2019-0055
Levi, M. & Soudijn, M. (2020). Understanding the Laundering of Organized Crime Money. Crime and Justice, 49(2020), 579-631. https://doi.org/10.1086/708047
Levi, M. (2020). Evaluating the Control of Money Laundering and Its Underlying Offences: the Search for Meaningful Data. Asian Journal of Criminology, 15(2), 301-320. https://doi.org/10.1007/s11417-020-09319-y
Levine, R. (2005). Finance And Growth: Theory And Evidence. Working Paper 10766, Cambridge, MA: National Bureau Of Economic Research. Retrieved October 10, 2020, from https://www.nber.org/system/files/working_papers/w10766/w10766.pdf
Masciandaro, D. (1999). Money Laundering: the Economics of Regulation. European Journal of Law and Economics, 7, 225–240. https://doi.org/10.1023/A:1008776629651
Masciandaro, D. (Ed.). (2004). Global Financial Crime. London: Routledge. https://doi.org/10.4324/9781315254241
Mekinjić, B., Grujić, M. & Vujičić-Stefanović, D. (2019). Primjena regresione analize u procjeni uticaja digitalizacije i tehnoloških inovacija na tri mjere razvoja privrede i društva. Bankarstvo, 48(4), 12-43.
Mekinjić, B., Grujić, M., & Vujičić-Stefanović, D. (2020). Uticaj digitalizacije i tehnoloških inovacija na finansijskom tržištu na razvijenost finansijskog tržišta. Ekonomika preduzeća, 68(3-4), 269-279.
National Bureau of Economic Research (2018). International finance. Cambridge: Massachusetts. Retrieved April 28, 2019, from URL: https://www.nber.org/data/international-finance/FinDev.xlsx
Natoli, R., & Zuhair, S. (2011). Measuring progress: A comparison of the GDP, HDI, GS and the RIE. Social Indicators Research, 103(1), 33-56.
Organisation for Economic Co-operation and Developmen [OECD]. (2018). Survey of Large Pension Funds and Public Pension Reserve Funds. Retrieved April 10, 2020, from http://www.oecd.org/daf/fin/private-pensions/survey-large-pension-funds.htm.
Quirk, P. J. (1996). Macroeconomic implications of money laundering. Working Paper No. 96/66. Washington, DC: International Monetary Fund.
Rajan, R., & Zingales, L. (1998). Financial development and growth. American Economic Review, 88(3), 559-586.
Sahay, R., Čihák, M., N'Diaye, P. & Barajas, A. (2015). Rethinking financial deepening: Stability and growth in emerging markets. Revista de Economía Institucional, 17(33), 73-107.
Salinger, L. M. (Ed.). (2005). Encyclopedia of white-collar & corporate crime (Vol. 1). New York: SAGE Publications.
Shah, S. (2016). Determinants of human development index: A cross-country empirical analysis.
Stancu, I. & Rece, D. (2009). The Relationship between Economic Growth and Money Laundering – a Linear Regression Model. Theoretical and Applied Economics, 9(538), 3-8.
Šikman, M. (2011). Organizovani kriminalitet. Banja Luka: Visoka škola unutrašnjih poslova.
Tanzi, V. (1997). Macroeconomic implications of money laundering. In E. U. Savona (Ed.), Responding to Money Laundering, International Perspective, (91-104). Amsterdam: Harwood Academic Publishers.
Teichmann, M. F. (2019). Recent trends in money laundering and terrorism financing. Journal of Financial Regulation and Compliance 27(1), 2-12. https://doi.org/10.1108/JFRC-03-2018-0042
Tiwari, M., Gepp, A. & Kumar, K. (2020). A review of money laundering literature: the state of research in key areas. Pacific Accounting Review, 32(2), 271-303. https://doi.org/10.1108/PAR-06-2019-0065
UNODC. (n.d.). Money-Laundering and Globalization. Retrieved October 2, 2020, from https://www.unodc.org/unodc/en/money-laundering/globalization.html
Vuković, S., Mijalković, S. & Bošković, G. (2011). Prevencija pranja novca i finansiranja terorizma, osnovne metode i mogućnosti. NBP: Žurnal za kriminalistiku i pravo 16(2), 117-131.
Vuković, S., Mijalković, S. & Bošković, G. (2016). Police Role in Local Crime Prevention–Experiences From Serbia. In G. Meško & B. Lobnikar (eds.), Criminal Justice and Security in Central and Eastern Europe, (117-127). Ljubljanja: Faculty of Criminal Justice and Security.
World econimic Forum. (2018). Readiness for the Future of Production Report. Retrieved October 10, 2020, from www.weforum.org