^^^ this is basically how it works.
How Digital industry thought that banks don't lend out money that is deposited into banks is beyond me and couldn't be further from the truth!
That is because you likely have half of an education , I dont want to go back and have to read all that but I will if I have to , a reserve ratio is just that a ratio of reserve .
If that is too difficult for people to understand then unfortunately you maybe beyond help.
The " reserve ratio" relates ofcourse to the age old magic of " fractional reserve lending" .
Deposits only make up the reserve so that the " general ledger" can allow for the issuance of new money to be loaned into existance , thats right kiddies , loaned into existance .
The fact that its 2013 and the fact that you are ignorant of this is the reason we are in a lot of trouble.
I can link you to some fast paced video so that you may school yourself if you like ?