What happens when the person withdraws the million dollars? The bank only has 10... | Hacker News

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		colinmhayes on Nov 15, 2022 \| parent \| context \| favorite \| on: Money Creation in the Modern Economy – Its a Wonde... What happens when the person withdraws the million dollars? The bank only has 100k.

drexlspivey on Nov 15, 2022 [–]

Are you talking about physical paper currency? That’s totally a different issue. What happens if the original depositor deposited via a bank wire and you want to loan out $100 dollars in paper money? You just get some paper money from the FED. Same thing here.

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