Bank Loan Activities and Fractional Reserve System: 10th Economics #CBSE #shorts

Bank Loan Activities and Fractional Reserve System: 10th Economics #CBSE #shorts

Banks use most deposits to provide loans, keeping only a small fraction as reserves. This 'fractional reserve' system fuels economic growth by channeling savings into investments. For example, banks lend to businesses for expansion or farmers for crops, earning interest while supporting development. 📑 Chapter: 3 🧠 Subject: Economics 🎓 Level: Class 10 (CBSE - India) 📅 For: CBSE Board Exams ⏱️ Timestamps: 00:00: Bank Loan Activities and Fractional Reserve System Question 00:14: Answer 👉 Type: Problem Walkthrough 🎯 Academic System: India 📘 Standard: CBSE, Class 10 #CBSE #Class10 #Economics #Education #India