Banking 3: Fractional Reserve Banking

With just 1000 pieces of fictional gold, Sal takes viewers through the process of fractional reserve banking. He explains how deposits made into a bank can be both assets and liabilities, and the role of having reserves. Additionally, he demonstrates the multiplier effect to show how the modern banking system is sustained.

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Resource Details

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