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In organizations, soft budget constraints are used to describe shortages of certain items. It is used to describe that there is an overwhelming demand for a certain product and the demand exceeds the amount of the product being made or manufactured.

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Breanne Watsica

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3y ago

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What are the different travel constraint?

budget constraints


What has the author Gun Eriksson Skoog written?

Gun Eriksson Skoog has written: 'The soft budget constraint' -- subject(s): History, Government business enterprises, Socialism, Finance


How can one determine their budget constraint effectively"?

To determine your budget constraint effectively, calculate your total income and list all your expenses. Compare the two to see how much money you have left after covering your essential costs. This remaining amount is your budget constraint, showing how much you can afford to spend on non-essential items or savings.


What is project constraint?

The primary constraints are scope, time, quality and budget.


What is the fundamental reason people must choose which goods to buy and consume?

They are limited by a budget constraint.


How the indifference curve and budget line apparatus are used to derive a consumer's demand curve?

Indifference curve: series of curve reflecting the preference structure of the individual. Budget constraint: the material resource constraint the individual faces in choices. The demand curve, being inherently designated as rational, seeks to maximise utility. Thus, in a Walrasian equilibrium, the consumer construct his demand curve at the points where his contract curve equals to his budget constraint (or, in mathematical terms, when the constraint and optimal indifferences are tangent to one another). These tangencies construct a curve which is the individual's demand function.


What is the tangent between a budget constraint and an indifference curve on an indifference map?

It is the equilibrium point of utility maximization.


What is a constraint of a project?

A constraint is a restriction (or a limitation) that can affect the performance of the project. For example, there could be a schedule constraint that the project must be completed by a predetermined date. Similarly, a cost constraint would limit the budget available for the project. Every project manager must keep these constraints in his mind during project planning as well as execution.


What is constraints in project management?

A constraint is a restriction (or a limitation) that can affect the performance of the project. For example, there could be a schedule constraint that the project must be completed by a predetermined date. Similarly, a cost constraint would limit the budget available for the project. Constraints are usually identified at a high level when the Project charter is written


What is a project constraints?

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What is the relationship between indifference curve and budget constraint?

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Which one of the following selects the combination of investment proposals that will provide the greatest increase in the value of the firm within the budget ceiling constraint?

Capital rationing