Usually means: Saving more reduces overall spending.
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We found 5 dictionaries that define the word paradox of thrift:

General (2 matching dictionaries)
  1. paradox of thrift: Wiktionary
  2. Paradox of thrift, The paradox of thrift: Wikipedia, the Free Encyclopedia

Business (3 matching dictionaries)
  1. Paradox of Thrift: FACS Journalist's Guide to Economic Terms
  2. Accounting, Business Studies and Economics Dictionary (No longer online)
  3. BusinessDictionary.com (No longer online)

Definitions from Wiktionary (paradox of thrift)

noun:  (economics) A paradox of economics, in which an increase in autonomous saving leads to a decrease in aggregate demand and thus a decrease in gross output which will in turn lower total saving.

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