purchasing power

American  

noun

1. Also called buying power.  the ability to purchase goods and services.

2. the value of money in terms of what it can buy at a specified time compared to what it could buy at some period established as a base.

   the purchasing power of the dollar.

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Etymology

Origin of purchasing power

First recorded in 1815–25

Example Sentences

Economists expect the severe price jumps to eat into Americans’ purchasing power and could slow aggregate consumer spending.

From Barron's

“We think current market pricing underplays the potential for demand destruction resulting from a squeeze in consumer purchasing power from higher energy prices,” Raedler and his team said in a note published Friday.

From Barron's

Preserve your purchasing power and keep an eye on your tax brackets.

From MarketWatch

Less debt service = greater ability to withstand downside shocks to purchasing power.

From Barron's

Another method, purchasing power parity, shows how much Chinese can purchase at home.

From The Wall Street Journal