A banking system in which only a fraction of the total deposits managed by a bank must be kept in reserve. The amount of the deposits equals the amount of the reserves times the deposit multiplier. In the U.S., this system is maintained by the Federal Reserve Board.
Related information about fractional reserve banking:
- Fractional reserve banking - Wikipedia, the free encyclopedia
Fractional-reserve banking is the practice whereby banks retain only a portion of their customers' deposits as readily available reserves (currency or deposits at ...
- Banking 3: Fractional Reserve Banking - YouTube
Oct 8, 2008 ... Learn more: http://www.khanacademy.org/video?v=nH2-37rTA8U Fractional reserve banking and the multiplier effect. Introduction to the money ...
- Fractional Reserve Banking Definition | Investopedia
A banking system in which only a fraction of bank deposits are backed by actual cash-on-hand and are available for withdrawal. This is done to expand the ...
- Fractional Reserve Banking - LewRockwell.com
by Murray N. Rothbard. We have already described one part of the contemporary flight from sound, free market money to statized and inflated money: the ...
- Ron Paul, Fractional Reserve Banking, and the Money Multiplier ...
Jul 29, 2012 ... It's certainly true that banks could maintain 100% of funds deposited, but if so, they wouldn't be banks.
- Fractional Reserve Banking - Money. What it is. How it works
... a companion to Money Basics. It presents a more detailed treatment of fractional reserve banking and its relation to the money supply. Reserve Requirements ...
- Banking 3: Fractional Reserve Banking | Banking and Money | Khan ...
Fractional reserve banking and the multiplier effect. Introduction to the money supply.
- Fractional Reserve Banking is Fraudulent - Ron Paul on CNBC ...
Jan 1, 2010 ... 9 minute video explaining the fraud of fractional reserve banking combined with fiat currency using the Federal Reserve's own documents: ...