What are the advantages and disadvantages of demonetization?
Table of Contents
What are the advantages and disadvantages of demonetization?
A Comparison Table for Advantages and Disadvantages of Demonetisation
| Advantages | Disadvantages |
|---|---|
| Demonetisation can result in a decrease in tax evasion by individuals and ensure the implementation of practical public measures. | Every ATM in the country needs to be remodified to allow the exchange of currency. |
What are the disadvantages of demonetization?
The biggest disadvantage of demonetisation has been the chaos and frenzy it created among common people initially. Everyone was rushing to get rid of demonetised notes while inadequate supply of new notes affected the day to day budgets of citizens.
What is demonetization and how does it impact you?
It is a major decision and it impacts all the citizens of the country because overnight all the money you have become a piece of paper which has no value if you do not exchange it with new currency units or deposit it in the banks. In order to understand demonetization better let’s look at advantages and disadvantages of demonetization –
How will curbing black money demonetization help in recovering black money?
Curbing Black Money Demonetization has made it mandatory for every person in India to deposit their old currency in the banks and exchange them for new currency. This will make the cash hoarders to deposit their money in the account and make it accountable. In this manner, black money will be retrieved to a certain extent.
How will demonetization affect the availability of cash in the market?
Due to demonetization, availability of cash in the market will be very less because every currency should be deposited in the respective bank and till the time bank reissue the new currency against old, so ultimately the new currency will be very less in the market.
What is demonetization of Rs 500 and Rs 1000 currency?
Advantages and disadvantages of demonetization of 500 and 1000 currency notes . The government of India recently took a bold step of demonetization of Rs 500 and Rs 1000 currency.Demonetization of currency means discontinuity of the said currency from circulation and replacing it with a new currency. This panic and discomfort is temporary phase.