Definition of deficit
1a (1) : deficiency in amount or quality a deficit in rainfall (2) : a lack or impairment in an ability or functional capacity cognitive deficits a hearing deficitb : disadvantage scored two runs to overcome a 2–1 deficit
Examples of deficit in a Sentence
The government is facing a deficit of $3 billion.
We will reduce the federal budget deficit.
The team overcame a four-point deficit to win the game.
She has a slight hearing deficit in her left ear.
Recent Examples of deficit from the Web
If the United States insists, for example, on allowing countries to block trade if their deficits get too large, the talks could take an angry turn.
But for a moment, a solo homer erased a one-run deficit.
Aberdeen had the deficit down to two, 7-5, with single runs in the third, fourth and sixth innings, but Auburn pulled away with five unanswered, two in the sixth and three in the seventh.
Remember, even under this version of the plan, the White House is allowing itself to expand the deficit by more than $3 trillion.
A zero-growth rate would mean federal Medicaid spending would not grow from year to year, which would dramatically restrain federal spending and reduce future federal deficits.
Boston won 6-4 in 12 innings then became the first team in major league history to overcome a 3-0 deficit and win a postseason series.
But the Met had difficulty securing lead donors for the project and then confronted a looming budget deficit.
Rosamond, the District 51 representative, scored its run in the second to cut the deficit to 9-1.
These example sentences are selected automatically from various online news sources to reflect current usage of the word 'deficit.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.
Financial Definition of DEFICIT
What It Is
A deficit occurs when expenses exceed revenues, imports exceed exports, or liabilities exceed assets. A deficit is the opposite of a surplus.
How It Works
Fiscal deficits occur when an entity's (usually a government) expenditures exceed its revenue. A government usually borrows money to fill the gap or "fund the deficit." Most governments finance their debt by selling government bonds.
Trade deficits (also called current account deficits) occur when a country imports more than it exports. The difference between exports and imports is called net exports.
Why It Matters
Deficits are controversial. The famous economist John Maynard Keynes argued that fiscal deficits stimulated economies by allowing governments to purchase goods and services and were thus particularly useful for getting countries out of recessions. However, many scholars argue that governments should not incur fiscal deficits regularly because the cost to service the debt takes away from government spending that could be better used elsewhere.
Meanwhile, supporters of trade deficits say they are the direct result of global competition. Thus, the deficits exists because consumers are making a choice to buy foreign goods whether it be because of a difference in quality, price, or any other reason. Opponents of large trade deficits believe the deficit provides jobs to foreign countries instead of creating them at home, thus hurting the domestic economy.
DEFICIT Defined for English Language Learners
Definition of deficit for English Language Learners
: an amount (such as an amount of money) that is less than the amount that is needed
: the amount by which a person or team is behind in a game or contest
: a problem that causes a decrease in some ability
DEFICIT Defined for Kids
Definition of deficit for Students
: a shortage especially in money
Seen and Heard
What made you want to look up deficit? Please tell us where you read or heard it (including the quote, if possible).