How Barclay Manipulated the Libor Rates

Reblogged from New Economic Perspective First published 03.07.12 before the ‘resignation’ of Bob Diamond CEO Barclays Bank.

Former US banking regulator, now lecturing at the University of Missouri, Kansas City, Professor Bill Black explains how Libor was manipulated, and the significance of that manipulation for the large banks and the global markets.  He concludes that the laxity of regulation in the UK threatens the crown jewels of the City of London.  In other words, the loss of trust in Libor.