> how can the same money, at the same time, both be lent out to someone else to spend and also be available for me to spend as well? was still working as long as digital currency did not exist. you put 1000 in the bank for x% interest, bank physically gave those 1000 to someone else with (x+y%) interest but also taking care that if you went back to take your 1000 he'll have sufficient funds to cover it. in theory a banker should have the sum of all deposits covered by his own wealth, gaining profit from interest differences. but this is almost impossible so bank runs always crashed the banks. it only worked with just a reasonable small percent of deponents taking their money back and the rest keep depositing. now with digital currency and fake paper gold certificate everything is a fucking nightmare.
Romania