Comment Comment by qnt Again no, neither of these are accurate. Modern banks do not operate on a fractional reserve basis at all. This is a falsehood peddled by well out of date undergrad econ textbookshttps://www.bankofengland.co.uk/quarterly-bulletin/2014/q1/m... parent qnt 4 years ago
https://www.bankofengland.co.uk/quarterly-bulletin/2014/q1/m...