Degeneracy in a linear programming problem is said to occur when a basic feasible solution contains a smaller number of non-zero variables than the number of independent constraints when values of some basic variables are zero and the Replacement ratio is same. In other words, under Simplex Method, degeneracy occurs, where there is a tie for the minimum positive replacement ratio for selecting outgoing variable. In this case, the choice for selecting outgoing variable may be made arbitrarily.