International Journal of Social Sciences & Economic Environment

International Journal of Social Sciences & Economic Environment

Online ISSN : 2456-7485

Frequency : Half Yearly

Current Issue : Volume 2 , Issue 2
2017

ACCEPTABILITY OF CASHLESS ECONOMY AFTER DEMONETIZATION IN INDIA

*Mr. Rajesh Kumar, **Dr. Bhupendra Kumar

*Asst Prof  & Research Scholar, Institute of Engineering &Technology Alwar (Raj.),  **Research Supervisor, Institute of Engineering &Technology Alwar (Raj.)

DOI : https://doi.org/10.53882/IJSSEE.2017.0202003 Page No : 13-20

Published Online : 2017-12-30

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ABSTRACT

 Demonetization is the act of stripping a currency unit of its status as legal tender. Demonetisation is necessary whenever there is a change of national currency. The old unit of currency must be retired and replaced with a new currency unit.

November the 8th, 2016 - the date has become a landmark for the Indian economy. It was an ordinary day for any Indian, but then the clock struck 8:15 p.m. and there was our Prime Minister addressing the countrymen. In a 25-minute long speech, the Prime Minister had waged a war against black money by withdrawing legal tender character of  Rupees 500 and Rupees  1000 notes with effect from midnight, and issuing new Rupees  500 and Rupees  2000 in place.

The surging menace of fake currency, especially in high denomination, cannot be stressed enough. This in turn, is hoarded as black money, and is misused by terrorists for anti-national and illegal activities. India is still known as a cash-based economy.

Keywords: Demonetization, Black Money, cashless transactions, GDP.