Libor benchmark: practice, crime and reforms

Peter Yeoh

Journal of Financial Crime, 2016, vol. 23, issue 4, 1140-1153

Abstract: Purpose - The purpose of this paper is to trace how and why the market-designed Libor benchmark turned bad, thereby necessitating a regulatory response. Design/methodology/approach - The study relies on primary and secondary data in the public domain and complemented by a single-case study. Findings - The study demonstrates how and why Libor benchmark rigging led to reforms in the UK and elsewhere. Research limitations/implications - The study relying mainly on the secondary data analysis needs to be enhanced by further empirical-based studies. Practical implications - Insights generated by the study suggest why it might not be worthwhile for market participants to game the system. Social implications - Libor benchmark affects the financial system widely with varying significance to the wider public. With better regulatory oversight, its negative impact is expected to be mitigated considerably. Originality/value - The seriousness with which the enforcement agency and judiciary now treat financial crime weakens the earlier public perception that white-collar crime is enforced differently.

Keywords: UK; Financial crime; Libor; Libor manipulation; Wheatley Report (search for similar items in EconPapers)
Date: 2016
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.emerald.com/insight/content/doi/10.110 ... d&utm_campaign=repec (text/html)
https://www.emerald.com/insight/content/doi/10.110 ... d&utm_campaign=repec (application/pdf)
Access to full text is restricted to subscribers

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eme:jfcpps:jfc-09-2015-0044

DOI: 10.1108/JFC-09-2015-0044

Access Statistics for this article

Journal of Financial Crime is currently edited by Dr Li Hong Xing and Prof Barry Rider

More articles in Journal of Financial Crime from Emerald Group Publishing Limited
Bibliographic data for series maintained by Emerald Support ().