Nudges and black money

Using ‘behavioural nudges’ rather than ‘surgical strikes’ to curb corruption

“I don’t care too much for money .. for money can’t buy me love”, crooned the Beatles more than 50 years ago. However, the problem is: people do care, not just for money and what it can or can’t buy, but also in what form it is held – as cash or as other near-money assets including bonds, gold etc. The latest attempt at demonetization as also the promise of more punitive measures to eradicate black money, exhibits a gross lack of understanding of the behavioural aspects of public policy problems. ….[READ]