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Hard capital rationing
The financial definition for Hard capital rationing:
A capital budget that under no circumstances can be violated.
Similar MatchesCapital rationingCapital rationing Placing limits on the amount of new investment undertaken by a firm, either by using a higher cost of capital, or by setting a maximum on the entire capital budget or parts of it.
"Soft" capital rationing"Soft" capital rationing Constraints on spending that under certain circumstances can be violated or even viewed as constituting targets rather than absolute limits.
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