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

“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

Trade wars, deficit spending and a falling dollar helped gold prices surge 65% in 2025 and to records above $5,300 a troy ounce in January.

From The Wall Street Journal • Feb. 16, 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

Failure to reach agreement with multilateral lenders in late 1995 led to rising deficit spending and subsequently increasing inflation and a drop in the value of the Haitian currency in the final months of 1995.

From The 1996 CIA World Factbook by United States. Central Intelligence Agency

Related Words

• budget deficit