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05-08-2008, 08:25 AM   #5
giangle

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@Khoa: Have a look at this article: http://en.wikipedia.org/wiki/Full-reserve_banking. Many people have argued for and some countries (eg Islamic banking) have actually implemented full reserve banking system (100% reserve).

On the other hand, some countries (eg UK, Australia) have abolished reserve requirement (0% reserve).
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