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uncountable noun. Rationing is the system of limiting the amount of food, water, petrol, or other necessary substances that each person is allowed to have or buy when there is not enough of them. The municipal authorities here are preparing for food rationing.
The rationing function of the price mechanism. Whenever resources are particularly scarce, demand exceeds supply and prices are driven up. The effect of such a price rise is to discourage demand and conserve resources. The greater the scarcity, the higher the price and the more the resource is rationed. This can be seen in the market for oil.