bankrupt

The Magic of Money in Money Supply

This education video starts with Steve that have 100 $ and deposited that money to his bank. Then the bank loaned fraction of that money to someone that also deposited the borrowed money in his banks. The story goes on, money supply increased significantly with every debt.

Bank only have fraction of our money, when all people withdraw their money then banks do not have money to give. Government will always bailout bank that is in trouble…. until someday when government goes bankrupt from national debt that is growing out of control.

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Wednesday, August 12th, 2009 Video No Comments