Definition of economy noun from the Oxford Advanced American Dictionary

Oxford3000 Academic

economy

noun
/ɪˈkɑnəmi/
 
plural economies
 
1 often the economy [countable] the relationship between production, trade, and the supply of money in a particular country or regionThe economy is in a recession.the world economya market economy (= one in which the price is fixed according to both cost and demand) see also consumer economy2 [countable] a country, when you are thinking about its economic systemIreland was one of the fastest-growing economies in Western Europe in the 1990s.3 [countable, uncountable] the use of the time, money, etc. that is available in a way that avoids wasteWe need to make substantial economies.It's a false economy to buy cheap clothes (= it seems cheaper but it is not really since they do not last very long).She writes with a great economy of words (= using only the necessary words).Buy the large economy pack! (= the one that gives you better value for money)to fly economy (class) (= by the cheapest class of air travel)an economy fare (= the cheapest)
Usage noteUsage note: The Economymanaging the economyhandle/run/manage the economyboost investment/spending/employment/growthstimulate demand/the economy/industrycut/reduce investment/spending/borrowingreduce/curb/control/keep down inflationcreate/fuel growth/demand/a boom/a bubbleencourage/foster/promote/stimulate/stifle innovation/competitionencourage/work with/compete with the private sectorincrease/boost/promote U.S./agricultural exportsban/restrict/block cheap/foreign importsthe economy grows/expands/shrinks/contracts/slows (down)/recovers/improves/is boomingenjoy an economic/housing/property boomeconomic problemspush up/drive up prices/costs/inflationdamage/hurt/destroy industry/the economycause/lead to/go into/avoid/escape recessionexperience/suffer a recession/downturnfight/combat inflation/deflation/unemploymentcause/create inflation/poverty/unemploymentcreate/burst a housing/stock market bubblecause/trigger a stock market crash/the collapse of the banking systemface/be plunged into a financial/an economic crisisbe caught in/experience cycles of boom and bustpublic financecut/reduce/slash/increase/double the defense/education budgetincrease/boost/slash/cut public spendingincrease/raise/cut/lower/reduce taxesraise/cut/lower/reduce interest ratesease/loosen/tighten monetary policybalance the (state/federal) budgetachieve/maintain a balanced budgetrun a ($4 trillion) budget deficit/surplus⇨ more collocations at politics, voting