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📢Features of Mrunal's Economy Course at Unacademy:
1) 👨‍🏫 Weekly live classes @night even Working Professional can attend
2) 🆎 Updated Powerpoints with latest budgets, economic surveys & current Affairs of Economy
3) 📑 500+ pages Rapid revision handouts, covering both Prelims & Mains, incl. Hindi translation for important terminologies. No need to purchase separate books / NCERTs.
4) 🔠 Weekly Quiz with ranking system
5) 💬 Weekly Doubt Solution to your queries.

- So far we learned about the first two stages of money's evolution i.e. commodity money and metallic money. But metallic money was bulky to transport, so people started using bill of exchange and paper-currency as a substitutes for full bodied coins. This gave birth to two types of fiduciary money i.e. 1) legal tenders and 2) non-legal tenders.
- Legal tenders can't be refused but there are caveats, accordingly they're subdivided into two parts 1) limited legal tenders such as coins which can't be used beyond a level for debt-settlement; and 2) unlimited legal tenders e.g. currency. While in theory Indian currency is unlimited legal tender but government can put reasonable restriction on it. e.g. in the latest budget 2017, the Finance Bill section 269ST prohibits cash transaction of rupee 3 lakh and above.
- When fiat money is backed by gold or silver standard, it's called "representative money", and when central bank promises "to pay bearer the sum of this many rupees", currency becomes an "anonymous bearer bond with zero interest".
- Over the years, India has followed three currency standards 1) fixed exchange rate 2) minimum foreign reserve system 3) managed paper currency standard.
- In India, two entities issue fiat money 1) Government of India under the coinage act 1909 they issued all coins and Rs.1 note; while 2) RBI Act 1934 empowers RBI to issue the remaining bank notes and RBI central board is empowered to make recommendation to government of India to withdraw any notes from circulation. This is called "Demonetization" and was done thrice in India after independence.
- After the demonetization of Rs.500 and Rs.1000 notes on 8/11/2016, Government of India issued Specified Bank Notes (Cessation of Liabilities) Ordinance, 2016 to curtail the liability of RBI regarding note exchange and at the same time make it punishable to hold old currency notes beyond a limit of 10-25. In the Budget 2017, same ordinance was put tabeled as a bill.
- The controversy regarding fake Rs.10 coins.
- What is bank money, how is it generated, what are its advantages?

Powerpoints available under Mrunal.org/download

- Faculty Name: You know who
- Powerpoint available at http://Mrunal.org/download goto Mediafire folder - "Powerpoint" -"1_Economy_Mrunal" - there goto "BES17_Budget_Eco_Survey" and you'll find the powerpoints.
- Exam-Utility: UPSC IAS IPS Civil service exam, Prelims, CSAT, Mains, Staff selection SSC-CGL, IBPS, SBI, RBI and other banking exams; LIC, EPFO, FCI & other PSU exams; CDS, CAPF and other defense services exams; GPSC, MPPCS, RPSC & other State PCS services exams with Indian Economy, Budget, Banking, Public Finance in its syllabus- with descriptive questions and answer writing.