Coin, Cash and Credit, and Fractional Reserve Banking - Wild West Banking - N J Wildberger
Explore the evolution of money and the intricacies of fractional reserve banking in this 34-minute lecture from the Wild West Banking series. Delve into the various forms of currency used throughout history, with a focus on the American Wild West in the late 19th century. Learn about the primary functions of money, the gold-to-silver ratio, and the introduction of banknotes. Gain a clear understanding of fractional reserve banking through an engaging story involving Slim's $100 deposit and its impact on Little Cactus. Discover the subtle mechanisms at play in this banking system, including the concept of geometric series. Conclude with a final story that ties together the key concepts presented in this informative and thought-provoking lecture on the foundations of modern banking.