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Cash Shortages And Black Money: A Look At India's 2016 Demonetization Effect, One Year Later, Amitabh S. Dutta Ph.D., Kishore G. Kulkarni Ph.D.

International Review of Business and Economics

The decision of demonetization announcement in November 2016, by the Prime Minister of India, Mr. Narendra Modi, was surprising to the general public and controversial to the economic thinkers. While the opponents of such a step have gone through actual calculation of the cost of demonetization in terms of potential GDP loss (2% as predicted by the former Prime Minister and Oxford Economist, Manmohan Singh) some supporters have pointed out the big benefits of this step. In recent days a talk of demonetization has become a “hot potato” that very few want to hold on to. Politically this has become …