Need a “Change” – Everybody’s Problem

“Change brings everything” Yuppy!!!!! I’m not going to write about this…I can’t change anybody…not even Mine ,than why should I have to write about this!!!!

But I m going to write about I “need a Change”….Am I confusing …No my point is clear…I need a change for hundred rupees…

Every time we will face this problem at one way or other way….whenever we were in Town Bus (intercity bus),This problem irritates like anything …..

Nowadays there is huge demand for Coins in India, but ignoring this there raises hectic quarrels among public and Bus Conductor and also small vendors and everybody deals with that. Nobody realizes the real problem behind that.

We will feel the impact of Commodity prices only when we purchase gold. Do we realize that there is a shortage of coins in India due to rise in metal prices? Particularly steel. Most of the times we will fail to notice small things, but it will have major impact than the bigger things.(Fig Represent Rise in Steel Prices )

                              Then your question is why only steel, government can print Legal tender (Paper money in India) for smaller denominations. Actually government of India had stopped printing small denomination notes 1re, 2rs, 5rs…a decade ago. These denominations have to print in huge volume bcoz of huge circulation, as well as the average life of these notes is less than a year. It is mutilated and tore within a year. That is also a reason for not having Small denomination paper notes.

                               Oh , My Mind questioned me Why can’t we leave all these smaller denominations  and keep on printing  and utilizing the higher denominations 10’s,100’s,500’s,1,000’s,5,000’S,and 10,000’s. Than we can say good bye to all smaller denomination coins or notes.

That is also not possible; printing money just like that will lead to hyper inflation.

                             Hyper inflation???? Will you write 6 pages for answering a two mark question; Obsolutely wise person won’t do this. We know value of time and effort. Hyper inflation is much similar to this. It’s a stage of increased inflation.

                              Every nation’s Central bank, as RBI in India will print rupees based on demand-supply, GDP, inflation.Inflation is none other than more and more money chasing limited resources, In other words if RBI, keep on printing the money then the value of money will reduce.

                               Country can print money based on the output from economy. How far our country is growing that far we can print money. Yes just like writing few pages for answering 10 Mark question .Or else it won’t sounds good. Zimbabwe felt hyper inflation

                              Between 2000 and 2008 the reserve bank of Zimbabwe entered into an uncontrollable printing of Zimbabwe dollars under the leadership of Dr Gideon Gono. This spiraled inflation to world record levels of 1 billion percent even though government only acknowledged inflation levels of just over 200 million %. Finally what happened to a common Man in Zimbabwe…….

The exchange rate is US$1 for Z$64 billion (z$ = Zimbabwean dollar)
A bottle of beer Z$16 billion

A daily newspaper costs Z$200 million
A loaf of bread costs Z$2 billion
An average worker gets about Z$25 billion a month
A teacher's salary is about Z$66 billion a month, just enough to buy 2 liters of cooking oil and a bar of soap


Zimbabwe is a country where you can be a billionaire but still live in poverty.They are getting better now.hope now you won’t ask reserve bank of India to print more and more money…

Oh all these economic wizards won’t help me out…..

What I need now is a change for Rs.100 ….. To pay my bill in Net Caf’e……….

I Desperately Need a Change……..

Note: Just now I Cmpltd sem exams that’s y my examples dwindled around Questions and Answers. Kindly bear with that.

Refer: http://www.rbi.org.in/scripts/FAQView.aspx?Id=39#4 to know more about our Legal Tender ie.Ruppees