The center has decided a package to revive the Indian economy and there are many doubts about how this huge package would be distributed among the Indian citizens. It seems like the Helicopter Money system is the only option to distribute Rs.20 Lakh crores to each and every state.
The helicopter system doesn’t mean the money will be distributed through helicopters all over the country. Simply, the Helicopter money system means depositing a certain amount in the bank account of every Indian citizen thereby increasing the economic strength of an individual.
Through this Helicopter Money system, there will be a balance between demand and supply and the economic system wouldn’t take a hit furthermore. Some may argue that this Helicopter Money system is impossible under the present circumstances but this system seems to be the most reliable option to cherish the people who are in despair.
Many people say that these 20lakh crore rupees will be allotted to various sectors and the remaining amount will be given to state governments as budgets and thereafter they will be converted as packages. In this method, the money won’t reach the people at the ground level for sure, as analysts opine and hence they suggest this helicopter money policy.
The United States of America in 2008 and Japan in 2016 opted for this Helicopter Money method and saved themselves from their critical economic crises and Modi may opt the same method to revive from this COVID-19 crisis period.