deficit spending

American  

noun

1. the practice of spending funds in excess of income, especially by a government.

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Etymology

Origin of deficit spending

First recorded in 1935–40

Example Sentences

“Our economy has been fueled by large amounts of government deficit spending and past stimulus and that increased expenditure on infrastructure remains a growing need,” Dimon says.

From The Wall Street Journal • Apr. 6, 2026

“Current deficit spending as a percent of GDP of 5.2% would be 6.1% without tariff revenue,” says Bill Merz, head of capital markets research at U.S.

From Barron's • Feb. 26, 2026

McLennan pointed to two paths forward for governments in developed economies to address their deficit spending and high levels of debt.

From MarketWatch • Jan. 27, 2026

Head teacher Dan Crossman says the school is in an in-year deficit, spending more money than it has got coming in.

From BBC • Jan. 7, 2025

The economy shrank about 4% because of decreased trade, intermittent border closures, increased deficit spending on security needs, and investor uncertainty.

From The 2002 CIA World Factbook by United States. Central Intelligence Agency

Related Words

• budget deficit