{"id":474,"date":"2015-05-05T04:17:14","date_gmt":"2015-05-05T04:17:14","guid":{"rendered":"https:\/\/courses.candelalearning.com\/masterymacro1xngcxmaster\/?post_type=chapter&p=474"},"modified":"2018-05-15T17:35:34","modified_gmt":"2018-05-15T17:35:34","slug":"learning-outcome-lending","status":"publish","type":"chapter","link":"https:\/\/courses.lumenlearning.com\/oldwestbury-wm-macroeconomics\/chapter\/learning-outcome-lending\/","title":{"raw":"Introduction to Lending and Money Creation","rendered":"Introduction to Lending and Money Creation"},"content":{"raw":"

What you'll learn to do:\u00a0describe how money is created by lending<\/h2>\r\n\"Hand\r\n\r\nIn this section, you\u00a0will see how banks can actually create money through loans. Money that is deposited in a bank is lent out, then a portion of that may be re-deposited elsewhere, then that money will be lent out, and that money re-deposited elsewhere, and so on. This process results in an increase of the money supply.","rendered":"

What you’ll learn to do:\u00a0describe how money is created by lending<\/h2>\n

\"Hand<\/p>\n

In this section, you\u00a0will see how banks can actually create money through loans. Money that is deposited in a bank is lent out, then a portion of that may be re-deposited elsewhere, then that money will be lent out, and that money re-deposited elsewhere, and so on. This process results in an increase of the money supply.<\/p>\n\n\t\t\t

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Candela Citations<\/h3>\n\t\t\t\t\t
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