Fractional Reserve Banking Commentary 1

After a short review on the banking process and lending procedures, Sal outlines some of the problems and weaknesses of fractional reserve banking. Additionally, he details the differences between illiquidity and insolvency, as well as how one weak bank in a fractional reserve banking system can make life difficult for an entire economy.

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Resource Details

Grade
9th - Higher Ed
Subjects
Math
4 more...
Resource Types
Videos
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Audiences
For Teacher Use
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Instructional Strategy
Flipped Classroom
Accessibility
Closed Captions
Usage Permissions
Creative Commons
BY-NC-SA: 3.0
cc