Editing Budget constraint (section)

{{Short description|All available goods and services a customer can purchase with respect to their income}}
{{More citations needed|date=December 2009}}
[[File:Budget constraint.svg|thumb|250px|Budget constraint, where <math>A=\frac{m}{P_y}</math> and <math>B=\frac{m}{P_x}</math>]]
In [[economics]], a '''budget constraint''' represents all the combinations of goods and services that a consumer may purchase given current prices within their given income. [[Consumer theory]] uses the concepts of a [[budget]] [[constraint (mathematics)|constraint]] and a [[preference map]] as tools to examine the [[parameters]] of [[consumer choice]]s . Both concepts have a ready [[Consumer Theory|graphical representation]] in the two-good case. The consumer can only purchase as much as their income will allow, hence they are constrained by their budget.<ref name="Allingham" /> The equation of a budget constraint is <math>P_x x+P_y y=m</math> where <math>P_x</math> is the price of good {{mvar|X}}, and <math>P_y</math> is the price of good {{mvar|Y}}, and {{mvar|m}} is income.