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Question
Distinguish between:
Quantitative Credit Control Measures and Qualitative Credit Control Measures
Solution
| Basis | Quantitative Credit Control Measures | Qualitative Credit Control Measures |
| Affect | Instruments of these measures have an effect on the entire economy. | Instruments of these measures have an effect only on some individuals or parties and not on the entire economy. |
| Uses | These measures are used to affect the quantum of credit in the economy. | These measures are used to affect the use of credit. |
| Techniques | Some examples of quantitative techniques are Cash Reserve Ratio, Statutory Liquid Ratio, Bank Rate etc. | Some examples of qualitative techniques are Selective Credit Control, Moral Suasion, Rationing of Credit etc. |
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|
Group ‘A’ |
Group ‘B’ |
||
| (a) |
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| (b) |
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| (c) |
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||
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| Column A | Column B | ||
| 1 | Issue of New Currency Notes | (a) | Government of India |
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