deficit spending

noun

: the spending of public funds raised by borrowing rather than by taxation

Examples of deficit spending in a Sentence

Recent Examples on the Web
Examples are automatically compiled from online sources to show current usage. Read More Opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback.
The prospect of governments being ousted in Tokyo and Paris fueled further uncertainty, while investors voiced worry over expansive deficit spending in London and Berlin. Matthew Martin, semafor.com, 7 Sep. 2025 In this view, which was embraced by progressive politicians such as Representative Alexandria Ocasio-Cortez and Senator Bernie Sanders, deficit spending was a low-cost means of paying for social investment, including ambitious climate protections and policies to reduce inequality. Kenneth S. Rogoff, Foreign Affairs, 19 Aug. 2025 The Context The United States national debt surpassed $34 trillion in 2024, raising ongoing questions about deficit spending and fiscal policy. Theo Burman, MSNBC Newsweek, 24 July 2025 Tax cuts and spending cuts have to go hand in hand, otherwise the cycle starts all over again as deficit spending goes up and tax hikes come calling down the road to plug the hole. The Editorial Board, Chicago Tribune, 23 July 2025 See All Example Sentences for deficit spending

Word History

First Known Use

1938, in the meaning defined above

Time Traveler
The first known use of deficit spending was in 1938

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Cite this Entry

“Deficit spending.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/deficit%20spending. Accessed 8 Oct. 2025.

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