Indian Journal of Economics and Development

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Impact of Demonetization on Indian Economy


Affiliations
1 Division of M.P.A.E, Netaji Subhas Institute of Technology (N.S.I.T), University of Delhi, Azad Hind Fauz Marg, Sector 3, Dwarka, New Delhi-110078, India
 

Objectives: The impact for demonetization has been mentioned, illustrating how similar events have had an historical analogy. The experts estimate has been used to support reasonable arguments made in context of requirement of monetary policy change.

Methods/Statistical analysis: Demonetization is a monetary policy which functions to remove currency of higher denomination which is currently in circulation. Reasons for its execution are restricted to each government and the need of the people. Although in best interest of the country and stabilizing the economy, demonetization reaches to sectors both organized and unorganized.

Findings/Results:Its effects are socio-economic which results in the desired outcome planned before, while bringing the policy in effect. Measures by the Government of India to demonetize with effect from 8th November 2016 will redefine business and investment in India and will lead this country to where it really belongs, in a league of developing nations contributing to the development of the entire world. The outcomes post demonetization has been discussed and its future implications have been mentioned in this manuscript. The assumptions made while applying policy change regarding the creation of urge to learn and implement smart IT solutions have also been mentioned illuminating desire for technological growth in the country. The article also follows through both advantages and disadvantages of demonetization.

Applications: Monetary Policy change, establishing business in a new economic environment.


Keywords

Demonetization, Policy, Business, Economics, Currency in Circulation, Black Money, Cashless Economy.
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  • Impact of Demonetization on Indian Economy

Abstract Views: 475  |  PDF Views: 310

Authors

Siddharth Choudhary
Division of M.P.A.E, Netaji Subhas Institute of Technology (N.S.I.T), University of Delhi, Azad Hind Fauz Marg, Sector 3, Dwarka, New Delhi-110078, India
Ashish Jacob
Division of M.P.A.E, Netaji Subhas Institute of Technology (N.S.I.T), University of Delhi, Azad Hind Fauz Marg, Sector 3, Dwarka, New Delhi-110078, India
Ayush Trivedi
Division of M.P.A.E, Netaji Subhas Institute of Technology (N.S.I.T), University of Delhi, Azad Hind Fauz Marg, Sector 3, Dwarka, New Delhi-110078, India
D. K. Singh
Division of M.P.A.E, Netaji Subhas Institute of Technology (N.S.I.T), University of Delhi, Azad Hind Fauz Marg, Sector 3, Dwarka, New Delhi-110078, India

Abstract


Objectives: The impact for demonetization has been mentioned, illustrating how similar events have had an historical analogy. The experts estimate has been used to support reasonable arguments made in context of requirement of monetary policy change.

Methods/Statistical analysis: Demonetization is a monetary policy which functions to remove currency of higher denomination which is currently in circulation. Reasons for its execution are restricted to each government and the need of the people. Although in best interest of the country and stabilizing the economy, demonetization reaches to sectors both organized and unorganized.

Findings/Results:Its effects are socio-economic which results in the desired outcome planned before, while bringing the policy in effect. Measures by the Government of India to demonetize with effect from 8th November 2016 will redefine business and investment in India and will lead this country to where it really belongs, in a league of developing nations contributing to the development of the entire world. The outcomes post demonetization has been discussed and its future implications have been mentioned in this manuscript. The assumptions made while applying policy change regarding the creation of urge to learn and implement smart IT solutions have also been mentioned illuminating desire for technological growth in the country. The article also follows through both advantages and disadvantages of demonetization.

Applications: Monetary Policy change, establishing business in a new economic environment.


Keywords


Demonetization, Policy, Business, Economics, Currency in Circulation, Black Money, Cashless Economy.

References