Rationing 1947). Tea was still on ration until 1952. In 1953 rationing of sugar and eggs ended, and in 1954, all rationing finally ended when cheese and meats came off ration. Sugar was again rationed in 1974 after Caribbean producers began selling to the more lucrative United States market. Many centralized planned economies introduced a peacetime rationing system due to food shortages in the postwar period. North Korea and China did so in the 1970s and 1980s, Communist Romania during the 1980s, the Soviet Union in 1990–1991, and from 1962-present in Cuba. A good example of this system was Poland. In
Credit rationing mechanism of monetary policy. Drawing on the famous Oxford surveys of businessmen in the 1930s he argued that it was likely that changes in the interest rate did not have a substantial effect on investment decisions. Harrod went on to argue that the main channel through which interest rates curtailed economic activity was through the process of what is now known as credit rationing. He wrote that: "It is essentially the imperfection of the capital market that makes monetary policy a powerful weapon." Credit rationing Credit rationing is the limiting by lenders of the supply of additional credit to borrowers