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Please explain this one more time to me. I thought banks were literally creating money when handing out credit. Banks are prohibited to loan money on their savi
by hamilyon2 5y ago
Please explain this one more time to me. I thought banks were literally creating money when handing out credit. Banks are prohibited to loan money on their saving accounts, so amount of credit issued is not directly influenced by amount of money saved.
It is rather influenced by regulation on those things.