Contractionary - Meaning, Definition & English Examples
Contractionary refers to policies or measures, typically in economics, that aim to reduce spending or slow economic growth. Examples include higher interest rates or reduced government expenditure to control inflation.
Definition:
Relating to economic policies designed to reduce inflation by limiting spending or credit.
Synonyms:
restrictive, deflationary, tightening
Part of Speech:
adjective
Antonyms:
expansionary, stimulative
Common Collocations:
monetary policy, fiscal measures, economic slowdown
Derivatives:
contraction, contract, contracting
Usage Tips:
Use "contractionary" to describe policies that slow economic growth to control inflation.
Common Phrases:
contractionary policy, contractionary measures, contractionary phase
Etymology:
Derived from "contraction," from Latin "contractio," meaning "a drawing together."
Examples:
- 1. The government adopted a contractionary policy to curb inflation.
- 2. Contractionary measures often lead to higher unemployment rates temporarily.
- 3. Central banks use contractionary tools to stabilize overheated economies.
- 4. A contractionary fiscal approach reduces public spending and increases taxes.