The study shows that in G-7 economies, banks creating loans leads to changes in the money supply, supporting the idea of endogenous money supply. This means that money is created by banks meeting the demand for money from people and businesses. The traditional theory that deposits create money is not as accurate. The research looked at data over 26 years and found that bank loans are a key factor in determining the money supply. In the UK and the US, money supply was influenced by policies that targeted specific levels of money in the economy.