Saturday, 10 December 2016

Dr.Manmohan Singh on Demonetisation.

- Not all cash is black money and not all black money is in cash.

-Unlike the poor, holders of black money have access to various forms of wealth such as land, gold, foreign exchange, etc.

- To make it worse, the government has actually made it easier to generate such unaccounted wealth in the future by the introduction of a Rs.2,000 note.

- More than 90 per cent of India’s workforce still earn their wages in cash.

-It is indeed true that India’s cash to GDP ratio is very high vis-à-vis other nations. But this is also an indicator of the Indian economy’s dependence on cash.

Source:The Hindu

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