Exact(2)
In a fractional reserve banking system, banks are permitted under law to create deposit money out of thin air.
Along with an assertive populist Congress, the new administration used the bailout money in the RFC to implement mass foreclosure-mitigation programs, create deposit insurance, and put millions of people to work.
Similar(58)
Deposits are not endowments that precede loan formation; it is loans that create deposits.
While banks collectively create deposits by making loans, each bank has to finance each loan.
Every student of introductory economics learns how this works: banks create deposits, which function as money.
Only banks can lend money into existence, he emphasises: their loans create deposits that can then be used to pay for things.
At the interfacial area of these templates, PBCA nanoparticles create deposits that form the particle wall, as the result of a partial filming process.
Such fuels can create deposits that make piston rings sticky, and can create impurities in the fuel injection system that will interfere with proper engine operation, the group said.
On the one hand, banks can create deposits when granting loans.
The condition develops as white blood cells called monocytes attach to blood vessel walls and then stockpile fats to create deposits resembling hardened cottage cheese.
Loans create deposits -- reserve balances don't finance lending or add any "fuel" to the economy.
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