Demonetisation: An Estimation of Losses due to ATM Queuing

We highlight the inconvenience and the consequent losses that the general public has faced due to one factor: difficulty in withdrawing cash from ATMs. Our methodology is based on a widely-used technique—“willingness to pay.” The monetary value of losses thus obtained could be viewed as "cash transaction tax"—an implicit tax that the government has imposed on cash transactions due to the lack of liquidity. This tax can therefore be thought of as the government’s way of incentivising cashless transactions in the country.



Subscribers please login to access full text of the article.

New 3 Month Subscription
to Digital Archives at

₹649for India

$20for overseas users

Get instant access to the complete EPW archives

Subscribe now

The Grid

The 2017 draft guidelines on the operation of unmanned aerial vehicles, or drones, indicate a reversal of the government’s earlier misgivings about drone technology. However, in a field with rapid...
A reading list assesses if Direct Benefit Transfer (DBT) is the answer to leakages in the Public Distribution system (PDS). 
Karnataka will be going to the polls this year before May. Since 1985, every government, no matter its performance, has been voted out after one term. With the ruling Congress and the Bharatiya...
The video with the killing of Mohammad Afrazul by Shambhunath Raigar in cold blood, without any immediate motivation or excuse, is a watershed moment in the new-age social-media-driven communal crime...
Back to Top