IOSR-JHSS   Demonetization: A Game Changer from Black Economy to Digital Economy

Abstract: India is offering relative value in a slow growth world and it's faster growth is allowing the country to emerge as the second largest emerging market after China, noted a recent report by Bank of America Merill Lynch. "India is a rare economy in today's world in that it is not in stagflation. It is poised to overtake Brazil this year after having overtaken Russia last year in nominal GDP terms to emerge as the second largest emerging market after China," the report added. The country is expected to register a GDP growth of 7.4 per cent this fiscal, according to the global brokerage firm."India still offers relative value in a slow-growth world". A shallow recovery at home, estimate growth at 5.5 per cent in FY16 and 6.5 per cent in FY17 (old GDP series).

[1]. https://en.wikipedia.org/wiki/2016

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[3]. www.economictimes.indiatimes.com › Markets

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[5]. Braga, F.D., Isabella G and Mazzon J.A., (2013). Digital wallets as a payment method influence consumer in their buying behaviour, Available at http://www.anpad.org.br/admin/pdf/2013_EnANPAD_MKT1209.pdf Internet desk. (2016, Nov. 12).

Abstract: The demonetization of Rs. 500 and Rs. 1,000 banknotes was a policy enacted by the government of India on 8th November 2016, ceasing the usage of all Rs. 500 and Rs. 1,000 banknotes of the Mahatma Gandhi series as legal tender in India from 9th November 2016. The term demonetization is not new to the Indian economy. The highest denomination note ever printed by the Reserve Bank of India was the Rs 10,000 note in 1938 and again in 1954. But these notes were demonetized in January 1946 and again in January 1978, according to RBI data

[1]. http://www.letslearnfinance.com/demonetization-advantages-and-disadvantages.html

[2]. http://economictimes.indiatimes.com/markets/stocks/news/demonetisation-and-its-side-effects/articleshow/55678393.cms

[3]. https://www.easypolicy.com/knowinsurance-a/possible-effects-of-new-currency-change-in-india

[4]. http://rajiasacademy.com/demonetisation-international-trade/

[5]. http://www.governancenow.com/news/black-money/demonetisation-impact-mal-remittances-could-be-significant-expert#sthash.DuGZMe4M.dpuf

Abstract: On the midnight of 8th November 2016, the Government decided to eliminate the existing Rs 500 and Rs 1000 notes from circulation and gradually introduce a new set of notes. Essentially, demonetisation is a radical monetary step in which a currency unit's status as a legal tender is declared invalid. The primary objectives of demonetisation are control the counterfeit notes that could be contributing to terrorism, to undermine or eliminate the black economy and to lower the cash circulation in the economy which is directly related to corruption in the country. This paper evaluates the Indian economy, benefits of demonetisation, short term and long term impacts.

Keywords: Monetary, demonetization, economy, country and impacts.

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Abstract: Demonetization is a cleansing action for economic prosperity. Government initiate demonetization to eradicate counterfeit currency, fight tax evasion, eliminate black money gotten from money laundering and terrorist financing activities, and promote a cashless economy. Though it is a optimistic move by the government on one side; on the others side there is welfare losses to the poor sections of the society who depends on daily income for their livelihood and those doesn't have the digital transaction culture. Hence the papers put forth two major objectives: to study the positive and negative aspects of demonetization and to assess the sectoral impact of demonetization on the economy.

Keywords: Counterfeit currency, Tax evasion, Black money and Terrorist financing

[1]. http://businessworld.in/article/The-Sectoral-Impact-Of-Demonetisation-In-A-Nutshell/22-11-2016-108635/

[2]. http://www.jagranjosh.com/current-affairs/impacts-of-demonetisation-we-must-know-1479894107-1

[3]. https://www.quora.com/Are-there-any-negative-aspects-of-the-demonetization-scheme

Abstract: The Government implemented demonetization recently it gained positive and negative feedback from the people. Apart from the common man Indian organized and unorganized sectors got huge impacts both positively and negatively, data from the Times of India, employment has decreased 35% in last 40 days. And also some other data added Indian GDP decreased 7.5% to 7.1% its showing clear picture about organized and unorganized sectors present situation. Indian government attempted to tackle the three issues affecting the economy i.e. a parallel economy, counterfeit currency in circulation and terror financing. There is no doubt that Prime Minister has pulled out a major coop and substantially enhanced his reputation as a strong leader. But "All cash is not black money, and all black money is not cash," hence this paper examining the impacts of demonstration in organized and unorganized sector.

Abstract: On 8 November 2016, India's Prime Minister Narendra Modi announced the Government of India's decision to cancel the legal tender character of Rs. 500 and Rs. 1,000 banknotes with effect from 9 November 2016. He also announced the issuance of new Rs. 500 and Rs. 2,000 banknotes in exchange for the old banknotes. While the announcement essentially rendered the Rs. 500 and Rs. 1,000 banknotes invalid from 9 November 2016, the Ministry of Finance has been monitoring the implementation of these measures in a number of ways: Exchange of old currency notes for new Rs. 500 and Rs. 2,000 currency notes has been permitted until 31 December 2016, i.e. 50 days from the date of the announcement...........

Keywords: demonetization, cashless transactions, credit, tax evasion

Abstract: The argument posited in favour of demonetisation is that the cash that would be extinguished would be "black money" and hence, should be rightfully extinguished to set right the perverse incentive structure in the economy. While the facts are not available to anybody, it would be foolhardy to argue that this is the only possibility. Therefore, it is imperative to evaluate the short run and medium-term impacts that such a shock is expected to have on the economy. Further, the impact of such a move would vary depending on the extent to which the government decides to remonetise. This paper elucidates the impact of such a move on the availability of credit, spending, level of activity and government finances.

Keywords: demonetisation, cashless transactions, credit, tax evasion

[1] www.thehindu.com/business/Economy/rbi-urges-public-to-adopt-digital-as-atms-run-dry/article9339020.ece

[2] www.thehindu.com/news/national/demonetisation-arun-jaitley-on-atms-going-dry/article9338238.ece

[3] www.nipfp.org.in

Abstract: Demonetization is a generations' memorable experience and is going to be one of the economic events of our time. Its impact is felt by every Indian citizen. Demonetization affects the economy through the liquidity side. Its effect will be a telling one because nearly 86% of currency value in circulation was withdrawn without replacing bulk of it. As a result of the withdrawal of Rs 500 and Rs 1000 notes, there occurred huge gap in the currency composition as after Rs 100; Rs 2000 is the only denomination. Absence of intermediate denominations like Rs 500 and Rs 1000 will reduce the utility of Rs 2000. Effectively, this will make Rs 2000 less useful as a transaction currency though it can be a store value denomination

Abstract: Demonetization is the act of stripping a currency unit of its status as legal tender. Demonetization is necessary whenever there is a change of national currency. The old unit of currency must be retired and replaced with a new currency unit. PM Modi has announced a war against black money and corruption. In an emboldened move, he declared that the 500 and 1000 Rupee notes will no longer be legal tender from midnight, 8th November 2016. The RBI will issue new chip based Rs. 500 and Rs. 2,000 notes which will be placed in circulation from 10th November 2016. Notes of 100, 50, 20, 10, 5, 2 and 1 Rupee will remain legal tender and will remain unfazed by this decision.

Abstract: Agriculture is the backbone of our Indian country. In our country 75% of people are either directly or indirectly depend on agriculture. The farmers struggled a lot at the time of demonetisation because the saving habits as well the payment mode of farmers were only on cash. Farmers used to handle liquid cash as it is essential for their day to day transactions. 70% of the farmers market their products through Farmers Market (uzhavar santhai) or they may be street vendors where cashless transaction is impossible. Daily wage earners in agriculture were earning small amount per day. When the withdrawals from banks were limited.........

Keywords: Demonetisation, Currency, Agriculture, Farmers, agricultural Industries.

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Abstract: This paper emphasis on demonetisation as a deeper attempt by Indian government in stamping out black money, corruption, counterfeit currency and developing cash less economy. The government of Narenda Modi completely surprised his citizens by suddenly announcing withdrawal of larger denomination currency notes from circulation, forcing Indians to put their cash into banks. That would bring all the money into taxable account. Demonetisation is not the first time in India, but introducing Rs.2000/- currency note is first time in India. The episode of demonetisation has come as a rude shock to the hoarders of cash, who have woken up to the truth that unaccounted money has no place in the vaults anymore, and hiding the cash was not a wise...........

Abstract: Demonetization is a generations' memorable experience and is going to be one of the economic events of our time. Its impact is felt by every Indian citizen. Demonetization affects the economy through the liquidity side. Its effect will be a telling one because nearly 86% of currency value in circulation was withdrawn without replacing bulk of it. As a result of the withdrawal of Rs 500 and Rs 1000 notes, there occurred huge gap in the currency composition as after Rs 100; Rs 2000 is the only denomination. Absence of intermediate denominations like Rs 500 and Rs 1000 will reduce the utility of Rs 2000. Effectively, this will make Rs 2000 less useful as a transaction currency though it can be a store value denomination..........

Abstract: On 8th November 2016, India's Prime Minister Narendra Modi announced the Government of India's decision to cancel the legel tender character of 500 and 1000 banknotes with effect from 9th November 2016. Exchange of old currency notes for Rs.500 and Rs.2000 currency notes has been permitted until 31 December 2016. Such currency exchanges have been limited to certain specified amounts announced from time to time and excess amounts are required to be deposited with banks subject to applicable to application KYC requirements. Cash withdrawals have been limited to ensure adequate supply of new currency notes. Usage of old currency notes has been permitted for certain specified periods and purposes, such as at hospitals and pharmacies, gas stations and foreign currency exchange for tourists

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Abstract: Demonetization for us means that Reserve Bank of India has withdrawn the old Rs 500 and Rs 1000 notes as an official mode of payment. Demonetization is the act of stripping a currency unit of its status as legal tender. In an important move, the Government of India declared that the five hundred and one thousand rupee notes will no longer be legal tender from midnight, 8th November 2016. The RBI will issue Two thousand rupee notes and new notes of Five hundred rupees which will be placed in circulation from 10th November 2016. Notes of one hundred, fifty, twenty, ten, five, two and one rupee will remain legal tender and will remain unaffected by this decision.............

Key Words: Demonetization, Indian economy, Black money, Tax evasion, Swiss bank, corruption

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[2] Partap Singh. 2013. Gold Prices in India: Study of Trends and Patterns, "International Journal of Innovations in Engineering and Technology (IJIET)", Vol. 2 Issue 4 August 2013 332, ( ISSN: 2319 – 1058)
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[4] http://www.business-standard.com/article/economy-policy/five-likely-effects-of-demonetisation-on-economy- 116110901411_1.html
[5] http://www.business-standard.com/article/economy-policy/five-likely-effects-of-demonetisation-on-economy- 116110901411_1.html

Abstract: The Indian government banned the high denomination notes (500 & 1000) from the midnight of 8th November, 2016. This move wiped out around 86% of the currency in transaction.The intentions of the apex authority behind this move was given as elimination of unaccounted tenders and curtail the circulation of counterfeit currency. This paper attempts to give a comprehensive assessment of the Demonetization move and tries to understand the rational behind the move from different perspectives. The first part of the paper deals with the ideological fit of demonetization

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