Research Handbook on Money Laundering
Show Less

Research Handbook on Money Laundering

Edited by Brigitte Unger and Daan van der Linde

Although the practice of disguising the illicit origins of money dates back thousands of years, the concept of money laundering as a multidisciplinary topic with social, economic, political and regulatory implications has only gained prominence since the 1980s. This groundbreaking volume offers original, state-of-the-art research on the current money laundering debate and provides insightful predictions and recommendations for future developments in the field.
Buy Book in Print
Show Summary Details
You do not have access to this content

Chapter 8: Measuring money laundering threat

Jakub Brettl


The goal of the chapter is two-fold. First we introduce a money laundering (ML) threat assessment method, originally developed by Brettl and Usov (2010) and present its results. Secondly, we will compare the methodology and its results with the one produced by Walker (2011). Both methods were applied to a sample of European Union member states. The Brettl-Usov method is based on the computation of a so-called Threat Index that measures the degree to which a particular country is attractive to money launderers relative to other countries. The approach is unique in that it explicitly distinguishes between five different types of money laundering offences (e.g. drug crime ML) and hence it can identify not only the overall ML threat a country faces, but also the degree to which each ML offence contributes to the overall threat. As a result, the method produces six different indices – one overall threat index and five threat indices for each ML offence (as classified by Reuter and Truman 2004). Walker takes a completely different angle when looking at ML threat. His method is based on the application of a gravity model/formula in order to compute the amount of criminal proceeds that can potentially be laundered in a jurisdiction of interest. The gravity model is augmented for a number of factors, besides geographical distance, that ought to influence international money laundering flows.

You are not authenticated to view the full text of this chapter or article.

Elgaronline requires a subscription or purchase to access the full text of books or journals. Please login through your library system or with your personal username and password on the homepage.

Non-subscribers can freely search the site, view abstracts/ extracts and download selected front matter and introductory chapters for personal use.

Your library may not have purchased all subject areas. If you are authenticated and think you should have access to this title, please contact your librarian.

Further information

or login to access all content.