Base money is 3% of all money. Go ahead pull the lot out. It won't matter. Only parking meters that can't take cards will feel it.
Reserves are unconstrained as banks lend to each other after creating credit via deposits from borrowers. If two banks create 400k and then each borrower buys land with this 400k and the seller then deposits the fresh "money" with one another's bank they have 400k credit. Demand is pulled forward and the credit will be destroyed only when it is paid down.
Money supply since the end of the gold standard (I'm not a goldbug) has rocketed. What constrained the near vertical rise? Nothing.
Reserves are unconstrained as banks lend to each other after creating credit via deposits from borrowers. If two banks create 400k and then each borrower buys land with this 400k and the seller then deposits the fresh "money" with one another's bank they have 400k credit. Demand is pulled forward and the credit will be destroyed only when it is paid down.
Money supply since the end of the gold standard (I'm not a goldbug) has rocketed. What constrained the near vertical rise? Nothing.