Example sentences for: ricardian

How can you use “ricardian” in a sentence? Here are some example sentences to help you improve your vocabulary:

  • 7For example, some households live paycheck-to-paycheck and might spend all of a tax cut, whereas other households might spend only a portion; a Ricardian household might save all of a tax cut in anticipation of future tax increases.

  • If all consumers were fully Ricardian, private saving would fully offset any change in government saving, and national saving would be unchanged.

  • When federal budget deficits and debt mounted in the 1980s, private saving declined-the opposite of what the Ricardian equivalence hypothesis would suggest.

  • 6 Thus, when the government runs deficits and accumulates debt, Ricardian consumers would save more to ensure that they or their descendants can pay the expected higher future taxes.

  • However, in recent years, as figure 4.1 illustrates, private saving-which is the major component of nonfederal saving-declined as federal saving rose-which is consistent with the Ricardian equivalence hypothesis.


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