#Monetary_Policy?: #Money_Creation in a #Fractional_Reserve_Banking System?? | After the #Silicon_Valley_BANK DEBACLE the USA #Treasury_Dept. will ONLY consider #Fractional_Lending_Schemes (#TOP 1% OF #SOCIETY???) #EXCLUSION? The NEW #FAITH SYSTEM? | #You Be the #JUDGE? In this video we illustrate the #process by which #money is #created in a fractional reserve banking system. Due to the fact that at #any #given_time a bank must only keep a certain #percentage of its total #deposits on #reserve, an #initial_deposit of a certain amount of money will be #multiplied as the #bank_loans_out any excess reserves, whose spending leads to further new deposits and even further loans in the economy.
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