[Drago]

You need to explain why Griffin is incorrect....you are familiar with our current system of “fractional reserve banking” correct? Not saying you are wrong...just explain your side of the argument.

https://www.thebalancemoney.com/what-is-fractional-reserve-banking-4590236

https://www.investopedia.com/terms/f/fractionalreservebanking.asp

To get us started: https://www.reddit.com/r/Anarcho_Capitalism/comments/z82ew2/does_a_bank_actually_lose_money_from_a_loan/

Also the Fed set the bank reserve requirement ratio to 0% in 2020:
https://www.federalreserve.gov/monetarypolicy/reservereq.htm

[Toddsterpatriot]

You need to explain why Griffin is incorrect...

You need me to explain why this, >"little of tangible value that is actually lost"< is incorrect? Really?

you are familiar with our current system of “fractional reserve banking” correct?

I am familiar. Does it mean Griffin's claim is correct?

[Toddsterpatriot]

That reddit link was funny.

My economics professors haven't given me a satisfactory answer, so I would like to ask you guys: if a bank can loan 1000$ from a 100$ deposit, what is the issue if I default on my loan from the "extra" created money? The whole fractional reserve system seems kind of a scan to me?

A bank can't loan $1000 from a $100 deposit.