Bifalgorithm post

So if you deposit $10,000 into the bank, the bank sets aside 10% or $1,000 and then loans out the rest of your money. The way it works is say another person comes into the bank and asks for a car loan of $9,000. At this moment, the bank loans out the $9,000 from your original deposit. It isn't there anymore. The borrower then pays the person selling the car and they go deposit The money gets redeposited and re-loaned until the initial deposit of $10,000 becomes $100,000. The banking system just created $90,000 by loaning out your money.

So if you deposit $10,000 into the bank, the bank sets aside 10% or $1,000 and then loans out the rest of your money. The way it works is say another person co…