Amid woes of customers hit by cash crunch, 25 people have reportedly died while waiting in queue to exchange their currency notes. In Midst of this chaos, one needs to ask who this policy is really affecting. According to the income tax data, the demonetization of Rs 500 and Rs 1,000 banknotes is unlikely to help the government suck out black money from the economy as hoarders keep a tiny portion of their ill-gotten wealth in hard cash. The end result that seems to be coming out, is that the corrupt are unaffected by this scheme while the poor suffer. While the Prime Minister romanticizes the entire situation, the common man starves on the road. Demonetization seems to have no silver lining.
Newclick spoke to C.P. Chandrasekhar, Professor CESP JNU. He talks about the concept of black wealth and how the people with most of the black wealth will not be affected by this scheme. He also speaks about the consequences of this move as it is economically not structured well. The introduction of 2000 rupee notes is useless as the smaller denomination notes are not available in the market. Watch the interview for more.
Interview with C.P. Chandrasekhar
Courtesy: Newsclick.in