Each year the World Bank’s “ease of doing business” survey gave a stark reminder of how badly the state was performing. In 2016, the year in which Modi introduced demonetization, India came in a dismal 130th out of 190 countries.52 Many problems were enshrined in legislation. The much-feared Factories Act of 1948, for instance, included rules setting out when a factory owner had to whitewash staircases or varnish window frames.53 Fifty-seven permits were needed to open an industrial plant, according to one estimate, or ninety for a hotel.
