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      Question

      Which of the following is an example of qualitative tool

      of monetary policy?
      A CRR Correct Answer Incorrect Answer
      B SLR Correct Answer Incorrect Answer
      C Repo Rate Correct Answer Incorrect Answer
      D Moral Suasion Correct Answer Incorrect Answer
      E Reverse Repo Correct Answer Incorrect Answer

      Solution

      Moral suasion is a qualitative tool, used to influence behavior, not liquidity directly.

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