Due to the ban, employment and economic activity declined by two to three percent

New delhi date. October 7, 2019, Monday

A new study has found that employment and economic activity have declined by two to three percent due to the ban. A similar situation has been observed in bank lending. The study found the decline to occur within two months of the notation announced on November 7.

This is the first research on demineralization in which data on the effects of districts across India were collected. In addition to the districts, the effect of national level was also studied. Previous studies only examined the national level effect of demonitization. Thus, a full estimate of the overall effect is not known.

As a result of the shortage of cash arising out of the blockade, the country's economic activity fell by approximately 8 percent in November-December 2 In the October-December period, bank credit has seen an impact of around two per cent.

Cash pulls have impacted demand for a short period. The study found that there was a strong link between money and production at the time of bankruptcy. The study has rejected the argument that the ban would not affect economic activities.

The study used district-level statistical data, taking into account indicators such as the amount of old notes and the amount of new notes being replaced, employment status, GDP and credit-deposit levels in the bank.

The study was also used by the study designers to deal with the issue of debit and credit card points in 4 districts in 4 districts.

The impact of economic activity in the late nineties since the notation was not covered in official figures. However, due to demonetisation, gains have been made in improving the recovery of taxes, the attractiveness of savings in financial instruments and the pace of non-cash payment mechanism.