ELECTION RESULTS – Demonetisation is bad for economics but good for politics

The jury is still out on the economic benefits of demonetisaion, but there is no doubt about the politics of the note ban: It is fast changing the political map of India. Since PM Modi announced the scraping of Rs 1,000 and Rs 500 notes on November 8, the BJP has gone on an election winning spree like never before. It has won local elections in Gujarat and Maharashtra and had increased its tally in Odisha. Now, the BJP’s mammoth victory in UP and Uttarakhand is further proof that people have given a thumbs-up for the currency ban.