Armitage, Seth - In: European Financial Management 2 (1996) 3, pp. 311-330
Banks never lend at less than the interbank floating rate, LIBOR. We argue that this must be because it is insufficiently profitable for those that could lend at less than LIBOR to do so and discuss circumstances in which this would be the case. Using data from 1988-1991, we show that LIBOR...
