The great unanswered question of the banking crisis

The problems that banks are causing to economies around the world are continuing and we shall hear more of them as time goes by. The latest news is that regulatory authorities have fined UBS one billion US dollars for manipulating LIBOR rates. Other banks have already been fined and more banks will be fined in future. Using a fine as a means of punishing a corporation for what is clearly criminal behaviour is a soft option. However the regulatory authorities and prosecutors have little choice. Continue reading