Inevitability of black money

Generation of black money and its stashing abroad in tax havens have dominated discussions and debate in several public forums and in parliament during last couple of years. Black money is a term used to refer to money that is not fully legitimate in the hands of the owner. The thinking process is going on all over the country to develop a system such that there is no generation of black money at all. However, author insists that everyone must also give a thought whether even the most honest person can do away with black money or survive without black money. There are certain governance related areas which make the transactions in black money inevitable. Two most important of these are elections of representatives of people and transfer of real estate. The paper discusses the causes of inevitability of black money in these areas and suggests practical remedies thereon.