fractional reserve banking
nounDefinitions
A widespread banking system in which a bank that accepts deposits from the public puts…
A widespread banking system in which a bank that accepts deposits from the public puts the majority of those deposits into investments (generating a profit for the bank) as opposed to keeping them all in reserve (i.e., directly on hand); the system assumes that it is unlikely that every customer would need to withdraw their money at the same time (i.e., a bank run).
The neighborhood
Vish — recursive loop
No curated loop yet for fractional reserve banking. Loops are being traced one word at a time while the ingestion pipeline matures.
sense glosses and etymology drawn from English Wiktionary · source · CC-BY-SA