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

That translates to higher costs for new mortgages and car loans, corporate borrowing and U.S. deficit spending.

From MarketWatch • Apr. 8, 2026

“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

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

In 2001, during a civil conflict, the economy shrank 4.5% because of decreased trade, intermittent border closures, increased deficit spending on security needs, and investor uncertainty.

From The 2008 CIA World Factbook by United States. Central Intelligence Agency

Related Words

• budget deficit