> Libor was "fixed" by design. Literally, the concept behind Libor was to ask some guys to make up a rate they thought they could borrow money at (note: Not the

> Libor was "fixed" by design. Literally, the concept behind Libor was to ask some guys to make up a rate they thought they could borrow money at (note: Not the rate they WERE borrowing money at). .. >Later it began to be used for other purposes, but it seems like a lot of people forgot that it was, at base, asking some bankers to make up a number. To be clear, it was never intended to be a measure of credit quality for banks. It was supposed to be a measure of supply and demand in the money market, a substitute for the Fed Funds rate, only for the non-US domiciled dollar market.