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rationing |
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rationing, allotment of scarce supplies, usually by governmental decree, to provide equitable distribution. It may be employed also to conserve economic resources and to reinforce price and production controls. Originally used in community emergencies and in distributing supplies to sailors, rationing was first organized on a national scale in Great Britain during World War I, and during World War II it spread to most of the world. The methods used have varied according to the degree of rationing needed and to the products. Rationing methods include specific rationing, or allotment in terms of physical units; point rationing, the allotment of points (ration stamps) to be apportioned by the user among commodities of a given group; and value rationing, allotment in terms of expenditure. Rations may be allotted to individuals, institutions, and industrial users, or to communities, as in rural areas of undeveloped countries. In universal rationing, ration currency is issued to everyone in equal amounts; in differential rationing, the allocation is based on need and may vary according to occupation, age, sex, or health. In the so-called flow-back system, ration currency, usually distributed by the government to the consumer, moves upward from the consumer level to the manufacturer or processor as the product moves down. During World War II, rationing in the United States was administered by the Office of Price Administration Office of Price Administration (OPA), U.S. federal agency in World War II, established to prevent wartime inflation. The OPA issued (Apr., 1942) a general maximum-price regulation that made prices charged in Mar., 1942, the ceiling prices for most commodities.
..... Click the link for more information. . BibliographySee W. A. Nielander, Wartime Food Rationing in the United States (1947). rationingGovernment allocation of scarce resources and consumer goods, usually adopted during wars, famines, or other national emergencies. Rationing according to use prohibits the less important uses of a commodity (e.g., the use of gasoline for pleasure trips as opposed to work-related travel). Rationing by quantity limits the amounts of a commodity available to each claimant (e.g., a pound of butter per month). Rationing by value limits the amount of money consumers can spend on commodities that are difficult to standardize (e.g., clothing). Point rationing assigns a point value to each commodity and allocates a certain number of points to each consumer. These can be tracked through coupons, which are issued to consumers and must be exchanged for the approved amounts of rationed goods. Consumers in a rationed economy are usually encouraged to save their money or invest in government bonds so that unspent money will not be used for unrationed items or purchases on the black market. Want to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit the webmaster's page for free fun content. |
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