Tag Archives | Monetary

4 qualitative measures of monetary policy

The qualitative measures do not regulate the total amount of credit created by the commercial banks. These measures make distinction between good credit and bad credit and regulate only such credit, which creates economic instability.

What is the meaning and objectives of Monetary Policy?

Monetary policy is concerned with the changes in the supply of money and credit. It refers to the policy measures undertaken by the government or the central bank to influence the availability, cost and use of money and credit with the help of monetary techniques to achieve specific objectives.

What are the features of Monetary Economy ?

Some of the most important features of Monetary Economy are Money is generally accepted as a medium of exchange, monetary economy has greater liquidity than the barter economy has and In a monetary economy, individuals also use money as an asset.

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