Question

Distinguish between the following :

Quantitative and Qualitative measures of credit control.

Answer 1

Sr.No.	Quantitative Credit Control Measures	Qualitative Credit Control Measures
(i)	These credit control measures are used to control the volume of credit.	These credit control measures are used to control the flow of credit.
(ii)	Bank rate, open market operations and variable cash reserve ratio are examples of quantitative methods.	Regulation of margin requirement, regulation of consumer credit, direct action, issuing directives, moral suasion, credit rationing and publicity are some of the examples of qualitative methods.