Definition, Meaning & Synonyms

economic constraints

noun

/ɪˈkɒn.əm.ɪk kənˈstreɪnts/

Definition

Economic constraints refer to limitations or restrictions that impact an individual’s or organization’s financial decision-making and resource allocation.

Examples

The economic constraints faced by small businesses often limit their growth opportunities.
Due to economic constraints, the government had to cut funding for several public projects.
Individuals often make sacrifices in their lifestyle choices because of economic constraints.

Meaning

These constraints can affect how money is spent, saved, or invested, often leading to trade-offs and prioritization of certain needs or goals over others.