‘Demonetisation will make corruption difficult’

French economist and Nobel laureate Jean Tirole said that it was not possible to “catch corrupt money” with demonetisation

On demonetisation and its impact, the economist said:

  • “One cannot get the corrupt money right away because the money has already been invested in real estate, gold and other things.”
  • Such a move, however, “will make future corruption more difficult.”
  • Cashless economy “in my opinion is a good thing.
  • But it should be ensured that the poor, who were most dependent on cash, did not suffer, he said.

Scandinavian example

  • The economist referred to attempts being made by Scandinavian countries.
  • But the situation there was different.
  • “Denmark and Sweden are trying to get rid of cash because it is more convenient.
  • In India, the reason is to get rid of corruption.
  • “Denmark is a different case because what they are trying to do is give prepaid debit cards to the poor.
  • That’s what you have to do for a cashless economy because the poor rely heavily on cash.

Source:The Hindu

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