#International_Tech_News | #MONEY_SUPPLY_CHAIN? | Monetary Policy: #Money_Creation 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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