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
Recent Examples on the Web
The hot Biden-era job market did little to improve Americans' purchasing power, as inflation outstripped higher paychecks.
—
Neil Irwin, Axios, 11 Feb. 2025
Throughout history, whenever economic conditions tightened, the central bank caved to demands for easy money policies, fueling asset bubbles and perpetuating a boom-and-bust cycle that has eroded the purchasing power of the dollar.
—Dave Birnbaum, Forbes, 23 Jan. 2025
The opposite of inflation is deflation when prices decrease and the purchasing power of money goes up.
—Hilary Tetenabaum, The Tennessean, 20 Dec. 2024
An inflation calculator shows that the real average hourly earnings for 2023 should equal $11.44 in December 2024 to maintain the same purchasing power.
—John Yoo and John Shu, Newsweek, 23 Jan. 2025
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Neil Irwin, Axios, 11 Feb. 2025
Throughout history, whenever economic conditions tightened, the central bank caved to demands for easy money policies, fueling asset bubbles and perpetuating a boom-and-bust cycle that has eroded the purchasing power of the dollar.
—Dave Birnbaum, Forbes, 23 Jan. 2025
The opposite of inflation is deflation when prices decrease and the purchasing power of money goes up.
—Hilary Tetenabaum, The Tennessean, 20 Dec. 2024
An inflation calculator shows that the real average hourly earnings for 2023 should equal $11.44 in December 2024 to maintain the same purchasing power.
—John Yoo and John Shu, Newsweek, 23 Jan. 2025
See all Example Sentences for purchasing power
Dictionary Entries Near purchasing power
Cite this Entry
“Purchasing power.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/purchasing%20power. Accessed 20 Feb. 2025.
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