Budget Constraint with Rationing (Varian Figure 2.4 & 2.5)

Rationing becomes necessary when there is a shortage, like the shortage of toilet paper, sanitizers, and facial masks during the 2020 pandemic. How does rationing change our budget constraint?

[marijazdravkovic]

This is an incredibly clear and precise explanation. Thank you very much!

[a_visghhwas]

How did you get the 2nd intercept in Figure 2.5 ? I am talking about ( x1 + m - p1x1/px+t)