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<p>[QUOTE=&quot;V. Kurt Bellman, post: 3053044, member: 71723&quot;]But that sort of analysis presumes something that is no longer true - that large balance holders are inherently profitable to a bank in any significant way. They are not. Borrowers create profits, not depositors. &quot;Well, they have to have deposits to allow borrowing. &quot; Actually no, only in the abstract. All loans LITERALLY create new money. If this were not so, a loan made to person A would prevent person B from access to some significant proportion of his deposits, like in <i>It&#039;s A Wonderful Life. </i>Banking isn&#039;t like that any more. Loanable funds are created from nothing.[/QUOTE]</p><p><br /></p>

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