EKONOMICZNE EFEKTY INDYJSKIEJ DEMONETYZACJI W ROKU 2016

• Published in: Prace Naukowe Uniwersytetu Ekonomicznego we Wrocławiu no. 509; pp. 477 - 488
• Main Author: Zaremba, Michał
• Format: Journal Article
• Language: Polish
• Published: Wydawnictwo Uniwersytetu Ekonomicznego we Wrocławiu 2018; The Publishing House of the Wrocław University of Economics
• Subjects: Developing nations; Economic development; National Economy; Supranational / Global Economy; demonetisation; developing countries; Indian economy; India
• ISSN: 1899-3192; 2392-0041

India is one of the most dynamically developing countries in the world. The Indian economy, since gaining independence, has been based on the five-year plans system and large state-owned enterprises. Changes in the economic system were forced by the crisis in the early 1990s. As a result, liberalization and the opening of the economy to the world took place. Since then, there has been a huge growth in the economy and expansion into global markets. Despite this undoubted progress, the country is still struggling with many problems, including huge poverty, large share of the informal economy, corruption or an unstable financial system. In order to fight with the informal economy, demonetisation of rupees was carried out in India in 2016, which caused a crisis in the entire economy. The aim of the article is to examine the effects of demonetisation on the functioning of the Indian economy. In order to fullfil the subject a statistical analysis was carried out, which showed that, despite the legitimacy of the reform, the effects (at least in the short term) are negative for the whole economy.