# Budget Deficit

*Macro & Economy — Finicade finance glossary*

When a government spends more than it collects in a year, borrowing to cover the gap. Run deficits long enough and they pile into the national debt.

**Related terms:** [Government Debt](https://finicade.com/glossary/government-debt), [Fiscal Policy](https://finicade.com/glossary/fiscal-policy), [GDP (Gross Domestic Product)](https://finicade.com/glossary/gdp)

Source: https://finicade.com/glossary/budget-deficit