what is the impact of demonetisation on supply curve
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HIGH LIQUIDITY IN BANKS DUE TO DEMONIZATION WILL INCREASE THE LENDING OF MONEY AND REDUCTION OF LENDING RATES. HUGE DEPOSITS IN BANKS DUE TO DEMONIZATI ON WOULD LEAD TO LOWER DEPOSIT RATES IN SAVINGS ACCOUNT. ... Due to reduced supplyof physical money the consumption in the economy has taken a hit.
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