Episode 2 – Fractional Reserve Banking is Obsolete
The Reorg
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The Risks of Fractional Reserve Banking: Misunderstandings and Failures
This chapter explores the intricate dynamics of fractional reserve banking, focusing on the differing perceptions of deposits between banks and savers. It highlights the potential risks of bank runs stemming from flawed assumptions about depositor behavior and the inherent vulnerabilities in the banking system.
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