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

Double-digit raises have been promised to union workers by a school system that for months has proclaimed that it is in dire financial straits, trapped in deficit spending and facing potential insolvency in four years.

From Los Angeles Times • Apr. 15, 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

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

Higher taxes and more ruinous levies in the newly conquered provinces could not fill the insatiable maw of deficit spending.

From Civilization and Beyond Learning from History by Nearing, Scott

Related Words

• budget deficit