Treasury Bond Market: Demonetization and Gst Shocks (An Event Study in India)

摘要

This study provides an evidence that recently announced monetary policy of demonetization and implementation of goods and services tax have negatively affected the Treasury bond market of India. The results show that average yields of treasury bonds were decreasing immediately after the announcement of demonetization and implementation of goods and services taxes in India. Therefore, it provides sufficient evidence that like other sectors of the Indian economy, the recently economic policy announcements have negatively affected Treasury bond market of India.