Question

Differentiate between Qualitative and Quantive tools of central bank​

Answer 1

Answer:

Quantitative instruments of monetary policy are the measures that affect the overall supply of money/credit in the economy. Qualitative instruments of monetary policy, as against the quantitative instruments affect the flow and direction of credit to particular sectors in a positive or negative manner.

Answer 2

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Quantitative instruments of monetary policy are the measures that affect the overall supply of money/credit in the economy. 

Qualitative instruments of monetary policy, as against the quantitative instruments affect the flow and direction of credit to particular sectors in a positive or negative manner.

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