Demonetisation has brought focus on currency in circulation and different types of money supply. Even though currency in circulation has come down, other forms of money supply do not show similar decrease. How is that so and what are the characteristics and significance of different types of money supply. A look at the same.. The first … Continue reading Money Supply – Understanding the Different Forms..
Zimbabwe witnessed unprecedented increase in prices during 2007-09 which could be reined-in only after abandonment of its currency. Like in all earlier episodes, this bout of hyperinflation, was also caused by sharp rise in money supply due to reckless printing of money to finance government deficit. Currency notes issued during this time ranged from Z$ 1 … Continue reading Understanding Hyperinflation – Economy of Zimbabwe..
The announcement by honourable Prime Minister to demonetise 500 and 1,000 rupee currency notes is truly unprecedented, probably beyond anything that the nation has witnessed since the imposition of emergency. While demonetisation has happened earlier too in 1978, the scale at which it is being done now is much higher. What is even more amazing … Continue reading The "Surgical Strike" on Black Money..!