All of the supposed relevance of reserves/reserve ratios etc. etc. are rendered entirely irrelevant when you take good, rational and ethical control of the economy with the dual policies of a universal dividend, a point of final retail sale with a large percentage discount/rebate policy and also create a national bank/central bank that has sole control over money creation.Why?

Monetary gifts are their own reserves/would incredibly stabilize the system because the additional money would democratically lessen the possibility of default

A $1000/mo dividend coupled with a 50% discount/rebate doubles everyone’s purchasing power for non-borrowing everyday consumer products and ends poverty immediately

The 50% discount/rebate policy forever ends inflation as retail sale is the terminal expression point for all forms of inflation, garden variety inflation is restricted by competition and could be further controlled by sane regulation and taxation and being a smallish single digit percentage at most is still negated by the 50% discount

Hyperinflations do not occur without a compliant central bank that leverages up/funds speculators to short the currency and with a national bank and central bank disallowing such it is not a problem. Read the 21st chapter of Stephen Zarlenga’s book The Lost Science of Money for a good historical account of the Weimar Republic’s hyperinflation.

With the National Bank’s employees being directly funded by the government and it charging no interest, monthly repayment and amortized costs for financing would be tremendously reduced and in fact for big ticket items like autos and homes finance could serve as a new legitimate end of the economic/productive process with the 50% discount at that point. (there being no need to borrow for everyday consumer goods with employment, the dividend and discount incomes) Thus the discount applied at the point of creation of any note would tremendously reduce/reverse overall private debt build up which is the actual macro-economic problem correctly (re)-discovered by Steve Keen.

Debt at 0% is fine and still necessary for new enterprise funding etc. and will still be a part of the system. Its monopolistically enforced paradigm of Debt Only not so. Monetary Gifting will end its monopoly, replace its primacy, make a truly money consumer economy possible and enable financability for ecologically sane policies, research and innovation.