Usually means: Public funds allocated for services.
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We found 3 dictionaries that define the word government spending:

General (3 matching dictionaries)
  1. government-spending: Wordnik
  2. government spending: Wiktionary
  3. Government spending: Wikipedia, the Free Encyclopedia

Definitions from Wiktionary (government spending)

noun:  All government consumption and investment, excluding transfer payments made by the state.

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