fiscal cliff

noun

1. a governmental or personal financial crisis that is brought on by economic factors or policies:

   High housing costs have pushed many families over the fiscal cliff.

   Some municipalities are on the edge of a fiscal cliff after years of overspending.

2. (specifically) a financial crisis that threatens to disrupt the economy or personal finances and is brought on by steep governmental spending cuts and tax increases:

   Congressional legislation to avert the fiscal cliff.

fiscal cliff

noun

1. informal.
   a situation in which sudden changes in government expenditure and taxation have a profound effect on a country's economy

Word History and Origins

Origin of fiscal cliff¹

First recorded in 1950–55

Example Sentences

The Dodgers’ thrilling playoff run comes as Los Angeles faces a fiscal cliff.

From Los Angeles Times

Mayor Cavalier Johnson of Milwaukee said the infusion of cash helped his city deal with “a fiscal cliff” and leverage an increase in the sales tax to support police and fire departments.

From New York Times

Not long ago, the agency’s director, Jeffrey Tumlin, was worried that it was barreling toward a “fiscal cliff,” when it would run out of money and have to make big cuts in service.

From New York Times

Districts all across the country are facing a fiscal cliff as federal money given out during the pandemic comes to a halt in September 2024.

From Seattle Times

“It’s a game they tried to play with John Boehner and Paul Ryan. ‘He’s gonna push granny off the cliff in a wheelchair,’” Mr. Hudson said, referencing the fiscal cliff political ad battle Democrats slammed Republicans with during the 2012 election.

From Washington Times