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[–] ArsCortica 0 points 1 point (+1|-0) ago 

From my own limited understanding, the demonetization in India was intended to to crack down on counterfeit bills and black market money, but even if that's the case, it backfired quite miserably. Simply removing two widely used bills from one day to the other in a country with more than one billion people was bound to create a nasty shockwave, even if banks were supplied with replacement cash.

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[–] vastrightwing 0 points 1 point (+1|-0) ago 

I'm not sure if this was unintended consequences or planned. Either way is bad. It could be a test like Cyprus. I tend to lean toward ineptitude. However, I don't know what the real outcome was supposed to be. Expect more capital controls to come in various forms as all world governments starve for assets. The U.S. is not immune to the malfeasance. Note zero interest rates. Later possible rate hikes causing massive inflation as the government struggles to pay the interest on its debt. I think the banking cartel is nervous and economies are on a death spiral that Noone knows how to control. You can only steal so much from the serfs before they strike back.