5731 Political Factoid

Political Factoid

Bank Magic - It only take $1,000 to start:

Deposited

10%
Retained

Loaned to
next bank

 Bank-1 
 Bank-2 
 Bank-3 
 Bank-4 
 Bank-5 
 Bank-6 
 Bank-7 
 Bank-8 
 Bank-9 
 Bank-10
 Bank-11
 Bank-12
 Bank-13
 Bank-14
 Bank-15
 Bank-16
 Bank-17
 Bank-18
 Bank-19
 Bank-20
 Bank-21
 Bank-22
 Bank-23
 Bank-24
 Bank-25
 Bank-26
 Bank-27
 Bank-28
 Bank-29
 Bank-30
 Bank-31
 Bank-32
 Bank-33
 Bank-34
 Bank-35
 Bank-36
 Bank-37
 Bank-38
 Bank-39
 Bank-40
 Bank-41
 Bank-42
 Bank-43
 Bank-44
 Bank-45
 Bank-46
 Bank-47
 Bank-48
 Bank-49
 Bank-50
 Bank-51

$100
 $90
 $81
 $73
 $66
 $59
 $53
 $48
 $43
 $39
 $35
 $31
 $28
 $25
 $23
 $20
 $19
 $17
 $15
 $14
 $12
 $11
 $10
  $9
  $8
  $7
  $6
  $6
  $5
  $5
  $4
  $4
  $3
  $3
  $3
  $3
  $2
  $2
  $2
  $2
  $1
  $1
  $1
  $1
  $1
  $1
  $1
  $1
  $4

$900
$810
$729
$656
$590
$531
$478
$430
$387
$348
$313
$282
$254
$229
$206
$186
$167
$150
$135
$121
$109
 $98
 $88
 $79
 $71
 $64
 $58
 $52
 $47
 $42
 $38
 $34
 $31
 $28
 $25
 $22
 $20
 $18
 $16
 $14
 $13
 $12
 $11
 $10
  $9
  $8
  $7
  $6
  $5
  $4
  -

$9,886

$998

$8,886

Total
deposited

Total
retained

Total loaned
to next bank

Assume now, that all of those deposits were simply
made to different accounts in the same bank!

Like magic, the $1,000 quickly became:

$9,886 in book deposits
($998* actually kept in the bank vault)

A question:
How much money is guaranteed by the FDIC?

And they say the government prints the money!

*	The banking industry has virtually no risk, as 98.8% of the money they were originally given is still in their bank vault(s).

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