Maybe this is completely off base but my line of thinking was based around fractional reserve banking: let's say I have 10 dollars and I put them in the bank. T

Maybe this is completely off base but my line of thinking was based around fractional reserve banking: let's say I have 10 dollars and I put them in the bank. Then let's say the bank lends out 9 out of 10 of the dollars to someone else for a mortgage. The net wealth is the same ($10), but there are now $19 in circulation.