One Nirav Modi has taken Rs 11,000 crore from PNB and fled away. It is a problem between PNB & Nirav Modi. Why common people will be worried ??
Here is an simple answer to this.
What is money ?
Economist say – It is a medium of exchange.
I say this definition is wrong. I am telling this from my college career , writing it since decades, nobody paying any heed.
Medium of exchange is only one of the functions of money. It can’t be the definition of money.
I say – MONEY IS A CERTIFICATE OF LABOUR.
If a person has 100 rupees with him, it denotes that he has put his labour worth Rs 100/- and obtained this certificate.
A common man has kept Rs 100/- in the Bank means he has deposited his labour or ability worth Rs 100/- in a bank. These labour gathered together is the big capital for big business.
Now think what Nirav Modi has taken away from the Bank.
The moment RBI changes the definition of Money, they will get a clear cut vision to make a prudential policy for a prudent money management in an economy.
NB: Black Money is a false certificate of labour, pls note.