The conversation between human and AI assistant.
What are your views on India banning 500 and 1000 notes? In what way it will affect Indian economy?
How did it affect the overall Indian economy?
The effects of demonetization on the Indian economy were mixed. On the one hand, it did lead to a rise in digital payments and, consequently, greater formalization of the economy. On the other hand, the sudden cash crunch led to reduced demand, which had a negative impact on growth. Moreover, the implementation of demonetization was not without its challenges and led to logistical issues and bureaucratic hurdles.