Definition, Meaning & Synonyms
false-economy
noun
/ˌfɔːls ɪˈkɒnəmi/
Definition
A situation that appears to be economically beneficial but ultimately leads to negative consequences.
Examples
- Buying cheap tools might seem like a good idea, but it’s often a false economy if they break after a few uses.
- Not investing in proper maintenance for your car could be a false economy when repair costs skyrocket later.
Meaning
False economy refers to the practice of saving money in a way that is counterproductive, ultimately leading to greater expenses or losses. It is often seen when one opts for lower quality or cheaper options that result in higher costs in the long run.
Synonyms
- penny-wise, pound-foolish
- false savings
