Impact of Demonetization on Indian Economy With Reference to Employment

Abstract

Demonetization is a process of extraction of a particular form of currency from circulation. The current form of money is pulled out from circulation and retired, to be replaced with new notes or coins. The latest demonetization measures taken by the Indian Government on November 8th 2016, in an effort to curb corruption and black money has resulted in a multitude of unintentional consequences. While the important purpose behind this move is commendable, the planning and implementation of the scheme leaves much to be desired from a policy point of view. The move has caused rolling impact throughout the economy, leaving most sectors economically crippled owing to the unexpected cash crisis. In this context, this paper aims to study the outcomes and probable ramifications of the scheme on economy, specifically on employment.