When applying the money multiplier formula to real-world settings, one must take account of the fact that:

1. the public holds currency as well, so the actual change may be different from what the formula gives
2. chartered banks are now moving away from taking deposits from the public
3. many Canadians are engaging in domestic transactions in currencies other than the Canadian dollar
4. deposit-taking institutions such as chartered banks hold some of their reserves in the form of currency