The books presents a lot of data and reasoning to show (as of writing the book - Feb. 2017) that the declared purpose of demonetization -- that of removal of black money was a colossal failure cause by Dec. 2016, i.e., within just under two months of the announcement of demonetization (8th Nov., 2016) most of the Rs. 500/- and Rs. 1000/- money had entered the banking system. The primary reasons cited by this book is that most of black money is not necessarily held as cash and even when it is held in cash, it can be brought into the banking system pretty easily. The nexus of business and politics is the primary cause of generation of black money and a lot of that happens through fudging of accounts while still being within the formal economy.
Demonetization took out 86% of the currency in circulation was invalidated overnight and the country was left to bear unreasonable and often heartbreaking situations due to the lack of cash. This broke people's trust in the govt. cause the currency was invalidated and it even after several months the vast majority of hones, legitimate users could not get the demonetized notes replaced.
Demonetization hurt the common, honest people and the hoarders of block money seemed to have managed without any trouble or reduction in the amount of black money. It was a failure and should not have been done as there were other ways of achieving some of the intended goals.
The books presents a lot of data and reasoning to show (as of writing the book - Feb. 2017) that the declared purpose of demonetization -- that of removal of black money was a colossal failure cause by Dec. 2016, i.e., within just under two months of the announcement of demonetization (8th Nov., 2016) most of the Rs. 500/- and Rs. 1000/- money had entered the banking system. The primary reasons cited by this book is that most of black money is not necessarily held as cash and even when it is held in cash, it can be brought into the banking system pretty easily. The nexus of business and politics is the primary cause of generation of black money and a lot of that happens through fudging of accounts while still being within the formal economy.
Demonetization took out 86% of the currency in circulation was invalidated overnight and the country was left to bear unreasonable and often heartbreaking situations due to the lack of cash. This broke people's trust in the govt. cause the currency was invalidated and it even after several months the vast majority of hones, legitimate users could not get the demonetized notes replaced.
Demonetization hurt the common, honest people and the hoarders of block money seemed to have managed without any trouble or reduction in the amount of black money. It was a failure and should not have been done as there were other ways of achieving some of the intended goals.