The crossword solution for the term SETS A LIMIT is CAPS. This term is often used in reference to a limit or boundary that is set in order to control something. For example, a company may set a limit on the number of hours an employee can work in a week, or a government may set a limit on the amount of pollution that can be released into the environment. In this context, CAPS stands for 'Ceiling and Placement System, ' which is a system used to set limits on certain activities.