This document discusses the history and impacts of India's demonetization initiative in 2016. It notes that this was not the first time India demonetized currency, as there was a similar effort in 1978, but that failed to curb black money. It explains that India has a large cash-based economy, with 80% of transactions in cash, and has a high cash to GDP ratio of 12%. The document outlines how black money is generated through tax evasion, bribes, and other means. It also discusses the impacts of demonetization, such as limited cash flow disrupting businesses and political parties, and predicts people will pay fees to convert black money to white.