1.

What are the effects of black money on economy?

Answer»

Effects of Black Money on economy 

1. Dual economy 

2. Tax evasion, thereby loss of revenue to government. 

3. Undermining equity 

4. Widening gap between the rich and poor 

5. Lavish consumption spending 

6. Distortion of production pattern 

7. Distribution of scarce resource

8. Effects on production.



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