Instructions: Here is the professor’s instruction and answer the question. “Whe

Instructions:
Here is the professor’s instruction and answer the question.
“When a commercial bank makes loans, it creates money; when loans are repaid, money is destroyed.” Explain.
I attached the photo about Money Creation so please use concepts from it.
Please use the chapter 15 and chapter 16 facts that I attached.
Be sure to apply economic concepts learned in your replies so your responses are deemed substantive.
This is just discussion assignment. No need to put the student name, class or others.
Please write 5-10 sentences most.