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>As banks can only invest based upon the deposits of their customers This is not strictly true, read about the money multiplier myth. As another (much more inf
by pgwhalen 7y ago
>As banks can only invest based upon the deposits of their customers
This is not strictly true, read about the money multiplier myth. As another (much more informed than I) HN commenter put it, banks think about constraints on lending in terms of the cost of money, not the quantity of money.