My teacher tells me loans made by a bank create deposits for another bank
for example...
Joey deposits $1000 in Bank a (initial one)
20% reserver ratio and andy borrows $800,he deposits them in bank b
here are the questions...
1)Must he deposits the money in to the bank?Why?
2)Can he deposit them in to bank A?
just 2 question to familiarize myself,you can answer them in either chinese or English,thank you very much,