Macro Unit 45 Banks and Money Creation

>> YOUR LINK HERE: ___ http://youtube.com/watch?v=ibF_kgQgj94

Hey Everyone! I'm Mr. Willis, and You Will Love Economics! • In this video, I will: • Define fractional reserve banking • Explain the process through which demand deposits are turned into required reserves and • new loans (loanable funds) • Discuss how banks earn profits through interest rates on outstanding loans • Define the money multiplier • Explain the process by which new money is created through fractional reserve banking • Practice calculating the change in required reserves, new loans, and the total change in • the money supply produced by changes in monetary policy • • Are you looking to teach this topic in your class? We have designed an activity to fit perfectly with this video: • https://www.teacherspayteachers.com/P... • Follow our store on Teachers Pay Teachers • https://www.teacherspayteachers.com/S... • Look for us on Social Media: • Instagram -- / youwillloveh. . • Facebook -- / youwilllovehi. . • Subscribe to our YouTube Channel: • / youwillloveeconomics • Check out our website for teaching tips and insight from us: https://sites.google.com/view/you-wil...

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