India's monetary policy has been announced and recently completed five years. Opposition parties have accused the ruling government of turning india into a 'cashless wallet PLATFORM' target='_blank' title='digital-Latest Updates, Photos, Videos are a click away, CLICK NOW">digital economy while pushing india into a major economic crisis.

When this policy was announced the aim was to eradicate counterfeit money and bring out black money. There is no evidence so far of the success of the monetary policy on a global scale so far. 

But there is ample evidence of the failures and reactions of the countries testing it. To understand the essence of this policy economically, we must first understand black money and the simple meanings behind the Reserve bank of India's balance sheet.

The simplest dictionary definition of black money is 'illegally obtained or undeclared income for tax purposes. 

Only the Reserve bank has the power to print money in India. The money thus issued in print and circulation will be on the liability side of its balance sheet, with the corresponding assets (asset) being rare metals such as gold and foreign currency. 

The main objective of the devaluation policy announced five years ago is to reduce the Reserve Bank's debt liability if black money does not return to the banks. So, the black money can be recovered by reprinting the corresponding amount. This can be better illustrated by a simple example of what is ethically incorrect.

This project raises an important ethical question. Apart from this monetary loss, the question also arises as to where is the penalty for the illegal act. 

For the legal income, the government has only the right to collect the tax, and the whole is like one hundred per cent tax. If no law grants this power, it will greatly undermine confidence in the government.

Sometimes, the monetary policy will become a one-time process. This policy will force the banks to transfer the money if they have already invested the declared income and kept the assets in cash within the legal limits within a specified period.

Another very important point is that according to the accounting practices adopted by the Reserve bank, rare metals such as gold and assets such as foreign currency are subject to international price changes. 

The valuation of these assets will be measured each week and each month. Gains / losses equivalent to the liabilities thus calculated will be recorded in the currency and gold Revaluation Account, not taking into account income. 

Therefore, black money that does not return due to the devaluation policy is not a sudden gain. It will be kept in reserve on currency and gold revaluation and adjusted in line with international price changes. 

Therefore, it cannot be considered profitable and reprinted in cash. Due to this practice, the monetary policy will never be used as a tool to expose black money.

Although the government prints the money for profit by printing some amendments, here are two very important questions that need to be answered: 

First, is it important for a government to prevent illegal activity or is it justifiable to use the proceeds in a different way? 

Next, if a government had the power to take all of the legal revenue, would the people rely on it to engage in production?

It is the mark of a good government to formulate and implement the greatest economic policies affecting all, not only from a single point of view but also knowing the answers to certain ethical questions.