I haven't checked the video (can't watch it here), but there are indeed many misconceptions about how the banking system operates.
In particular, banks do not lend out deposits, at least not in any meaningful way, and the so-called money multiplier is non-existent.
To get up to speed on such things, I would recommend the blogs of economics professor Bill Mitchell. His style is a bit rambling without much polish, since he writes one entry every day, but I found it very worthwhile for getting a deeper understanding. Consider looking for entries with "money multiplier" in the title in the index here: http://bilbo.economicoutlook.net/blog/?page_id=1667
In particular, banks do not lend out deposits, at least not in any meaningful way, and the so-called money multiplier is non-existent.
To get up to speed on such things, I would recommend the blogs of economics professor Bill Mitchell. His style is a bit rambling without much polish, since he writes one entry every day, but I found it very worthwhile for getting a deeper understanding. Consider looking for entries with "money multiplier" in the title in the index here: http://bilbo.economicoutlook.net/blog/?page_id=1667