What can Likely Happen after the RBI is Gone?
Many people ask me about what possibly can happen if Indian central bank RBI is abolished or it collapses under its own weight? The following write-up is a brief reply to such important questions. We in the Liberty camp, who talk about doing away with the statist central planning institutions like the central bank, have a responsibility of providing answers to such questions coming from concerned citizens who have lived their whole lives under this statist system and so they can’t think of any viable better alternatives because of their habit of thinking in the present system and their lack of imagination of alternative scenarios. At the outset let me declare that the following discussion is purely a theoretical exercise on this important issue of how to replace the RBI with something better and moral. As we all know, future is uncertain and we don’t know how market will configure itself once the central bank is gone. Notwithstanding this uncertainty, by using sound econo