Demonetises definitions
| Word backwards | sesitenomed |
|---|---|
| Part of speech | The word "demonetises" is a verb. |
| Syllabic division | de-mon-e-tis-es |
| Plural | The plural form of the word "demonetises" is "demonetises." |
| Total letters | 11 |
| Vogais (3) | e,o,i |
| Consonants (5) | d,m,n,t,s |
Demonetization: A Detailed Overview
Demonetization, often referred to as demonetisation, is the process of stripping a currency unit of its status as legal tender. This decision is usually taken by a government to curb illegal activities such as black money, corruption, and counterfeit currency. It involves removing the old currency notes from circulation and introducing new ones.
The Impact of Demonetization
Demonetization can have both positive and negative impacts on an economy. On the positive side, it can help reduce corruption, increase tax compliance, and promote a digital economy. However, on the negative side, it can lead to a temporary liquidity crunch, disrupt businesses, and inconvenience the general public.
The Process of Demonetization
Typically, demonetization is announced suddenly by the government, giving people a limited time to exchange their old currency notes for new ones. During this period, there are often restrictions on cash withdrawals to prevent hoarding and illegal activities. The old currency notes collected are usually destroyed to prevent them from reentering the economy.
Lessons from Past Demonetization Exercises
Several countries have undertaken demonetization exercises in the past with varying degrees of success. India's demonetization in 2016, for example, aimed to curb black money and promote a cashless economy but faced criticism for its implementation challenges. Venezuela's demonetization in 2018, on the other hand, failed to address hyperinflation and economic instability.
Key Takeaways
Demonetization is a complex economic policy that can have far-reaching consequences. While it may have noble intentions, its success largely depends on effective implementation and mitigation of negative impacts on the economy and the general public. Governments must carefully weigh the pros and cons before embarking on such a drastic measure.
black money and corruption are among the key issues that demonetization aims to address, but its effectiveness in achieving these goals remains a topic of debate among economists and policymakers.
Demonetises Examples
- The government demonetises old currency notes to curb black money.
- The decision to demonetises high denomination bills caused chaos in the country.
- The bank decided to demonetises certain coins due to lack of demand.
- The company demonetises reward points that are not redeemed within a specific time frame.
- The online platform demonetises videos that violate their community guidelines.
- The museum curator decided to demonetises certain artifacts due to authenticity concerns.
- The school board voted to demonetises the old textbooks and replace them with updated versions.
- The charity organization demonetises donations made through questionable means.
- The airline demonetises frequent flyer miles that have expired.
- The city council plans to demonetises parking permits for vehicles that are not registered.