An example of how $100 of currency could create $1000 of money in the form of deposits in bank accounts if banks hold 10% of all deposits as reserves

Table 16 provides an example of how $100 of currency could create $1000 of money in the form of deposits in bank accounts if banks hold 10% of all deposits as reserves and create loans that equal 90% of the value of each deposit.

Table 16.
Loan number
Loan amount
(dollars)
Total value of the loans
(dollars)
Total value of deposits
(dollars)
Loan number
Loan amount
(dollars)
Total value of the loans
(dollars)
Total value of deposits
(dollars)
0
0
0
100
49
0.57
894.83
994.83
1
90
90
190
50
0.52
895.35
995.35
2
81
171
271
51
0.46
895.81
995.81
3
72.9
243.90
343.90
52
0.42
896.23
996.23
4
65.61
309.51
409.51
53
0.38
896.61
996.61
5
59.05
368.56
468.56
54
0.34
896.95
996.95
6
53.14
421.70
521.70
55
0.30
897.25
997.25
7
47.83
469.53
569.53
56
0.27
897.52
997.52
8
43.05
512.58
612.58
57
0.25
897.77
997.77
9
38.74
551.32
651.32
58
0.22
897.99
997.99
10
34.87
586.19
686.19
59
0.20
898.19
998.19
11
31.38
617.57
717.57
60
0.18
898.37
998.37
12
28.24
645.81
745.81
61
0.16
898.53
998.53
13
25.42
671.23
771.23
62
0.15
898.68
998.68
14
22.88
694.11
794.11
63
0.13
898.81
998.81
15
20.59
714.70
814.70
64
0.12
898.93
998.93
16
18.53
733.23
833.23
65
0.11
899.04
999.04
17
16.68
749.91
849.91
66
0.10
899.14
999.14
18
15.01
764.92
864.92
67
0.09
899.23
999.23
19
13.51
778.43
878.43
68
0.08
899.31
999.31
20
12.16
790.59
890.59
69
0.07
899.38
999.38
21
10.94
801.53
901.53
70
0.06
899.44
999.44
22
9.85
811.38
911.38
71
0.06
899.50
999.50
23
8.86
820.24
920.24
72
0.05
899.55
999.55
24
7.98
828.22
928.22
73
0.05
899.60
999.60
25
7.18
835.40
935.40
74
0.04
899.64
999.64
26
6.46
841.86
941.86
75
0.04
899.68
999.68
27
5.81
847.67
947.67
76
0.03
899.71
999.71
28
5.23
852.90
952.90
77
0.03
899.74
999.74
29
4.71
857.61
957.61
78
0.03
899.77
999.77
30
4.24
861.85
961.85
79
0.02
899.79
999.79
31
3.82
865.67
965.67
80
0.02
899.81
999.81
32
3.43
869.10
969.10
81
0.02
899.83
999.83
33
3.09
872.19
972.19
82
0.02
899.85
999.85
34
2.78
874.97
974.97
83
0.02
899.87
999.87
35
2.50
877.47
977.47
84
0.01
899.88
999.88
36
2.25
879.72
979.72
85
0.01
899.89
999.89
37
2.03
881.75
981.75
86
0.01
899.90
999.90
38
1.82
883.57
983.57
87
0.01
899.91
999.91
39
1.64
885.21
985.21
88
0.01
899.92
999.92
40
1.47
886.68
986.68
89
0.01
899.93
999.93
41
1.33
888.01
988.01
90
0.01
899.94
999.94
42
1.20
889.21
989.21
91
0.01
899.95
999.95
43
1.08
890.29
990.29
92
0.01
899.96
999.96
44
0.97
891.26
991.26
93
0.01
899.97
999.97
45
0.87
892.13
992.13
94
0.01
899.98
999.98
46
0.79
892.92
992.92
95
0.01
899.99
999.99
47
0.70
893.62
993.62
. . .
0.01
900
1000
48
0.64
894.26
994.26