purchasing power

noun

1
: the amount of money that a person or group has available to spend
Inflation decreases consumer purchasing power.
2
: the value of money thought of as how much it can buy
a decline in the purchasing power of the dollar

Examples of purchasing power in a Sentence

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The report also sets the benchmark for Social Security’s annual cost-of-living adjustment, offering a rare glimpse of where prices and purchasing power currently stand. Moná Thomas, PEOPLE, 24 Oct. 2025 What Happens Next Seniors have lost 20 percent of their purchasing power in Social Security payments since 2010 as COLA routinely lags actual inflation, Ryan said. Suzanne Blake, MSNBC Newsweek, 24 Oct. 2025 At the same time, inflation has reduced people’s purchasing power. Phillip Molnar, San Diego Union-Tribune, 24 Oct. 2025 For starters, if you're retired (or getting close), inflation can quietly erode your purchasing power over time. Steve Hruby, Cincinnati Enquirer, 13 Oct. 2025 See All Example Sentences for purchasing power

Cite this Entry

“Purchasing power.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/purchasing%20power. Accessed 3 Nov. 2025.

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