Abstract
Recent political economy has put stress upon the significance of cash inflow through return payment as the bases of the banking business. However, the role that reserve as bank's own capital plays in bank credit should not be ignored. Even if social idle-money is centered on the bank as deposit, and major part of the bank capital is advanced on the costs of circulation related to monetary phenomena, the proportion of the bank capital in reserve cannot become zero. Credit system makes no contribution to the bank's need for equity capital and this limit has to be cleared by other kind of market organization : capital market.
