Demonetization has affected normal life in all aspects.
The purchasing capacity of the Indian common man was hindered in many ways. Small investors like the vegetable vendors, small shopkeepers had to face stagnation for a long time. Still, in my city, there is the shortage of hundred(100Rs.) rupee notes and retailers and vendors are facing difficulties in making payments and their sale too has declined.
The first week of November 2016 saw the demonetization of Rs.500 and Rs.1000 notes leading to a lot of chaos and overhead expenses. My husband and I had to run to the State Bank ATM every day as our son's marriage was to be solemnized that month. Often we were disappointed due to lack of cash at the ATM. Withdrawal of cash above Rs. 2000 was restricted and that too, we could only draw money from the ATM only once a day. This increased our fuel expenditure. We also had to cut down some expenditures that were essential and were in a false position at times as service providers demanded hard cash due to the cash crunch. Had cash been readily available at the ATM's payments like Rs.5000 to Rs.10,000 could be made in cash but they had to be made in cheque and the bank too was reluctant to issue cheque books. This made the situation worse.
Essential commodities like vegetables became scarce as vendors couldn't buy vegetables from the wholesale market due to the cash crunch. The same was the condition with small retailers and shopkeepers who did not use a POS for payment. Customers either had to find a counter that accepted payment through POS or go without a purchase if they did not have cash in hand. We had to do without small purchases within hundred and rupees fifty.
At some ATM's, people had to shell out bribes to get the security guard draw some cash for them. Many people died because of lack of treatment due to lack of cash in time. Investments got a big blow due to demonetization.