demonetisation on Human Resources in Informal sector
Answers
It was on 8 November 2016 that Prime Minister Narendra Modi announced the demonetisation of Rs500 and Rs1,000 banknotes. One year on, the after-effects of the exercise are still being felt in the economy. But the real question is, did the exercise achieve the objectives for which it was undertaken.
Given that most economic indicators today suggest a worsening of the situation compared to a year ago, it is easy to conclude that demonetisation was the primary cause of the slowdown. While it is tempting to come to such a conclusion, the fact of the matter is that the economic slowdown predates demonetisation. This is now public knowledge, but that does not imply that demonetisation did not contribute to the slowdown, as many in the government would like to believe.