Open AccessIndian Demonetization: A Critical Analysis
Author(s) -
Mohd Azhar Ud Din Malik
Publication year - 2018
Publication title -
management insight
Language(s) - English
Resource type - Journals
eISSN - 2456-0936
pISSN - 0973-936X
DOI - 10.21844/mijia.v13i02.11268
Subject(s) - rupee , currency , circulation (fluid dynamics) , shock (circulatory) , cash , economics , inflation (cosmology) , black market , legal tender , christian ministry , economy , finance , monetary economics , market economy , political science , medicine , physics , theoretical physics , exchange rate , law , thermodynamics
Demonetization simply mean removing currency from general usage or circulation. It is the process of withdrawal of currency from circulation. The motive for this kind change was simple: India’s Finance Ministry claimed that 500 and 1,000 rupee notes are being used to fuel the black market, finance terrorism, drive counterfeiting, fund illegal drug sales, and pay bribes. The objective of this study is critically analysis impact of demonetization in India. This Article is a modest attempt to collect data from northern, southern and central India to analyze the impact of demonetization through imperial evidence all over India. The argument suggested in favor of demonetization is that the cash that would be extinguished would be “black money” and hence, should be correctly extinguished to set right the obstinate incentive structure in the economy. Therefore the study conclude the short run and medium-term impacts shock Indian economy.