... bank. The larger the capital, sur-plus or undivided profits, other things being equal, the less is the likelihood of loss to the creditors of the bank.Or stating the same fact in other words, the ... deposits for the bankingsystem, then, be represented by R, the new cash orreserve, by c, the expansion of deposits traceable to anaddition to cash, by D, the loan expansion arising from the same ... in-cluding the evolution of the form of the bank borrow-er's obligation, the growth of the note brokerage busi-ness, the establishment of the bank credit department,and the rise of the new...