Meaning of the word "spending power" in English

What does "spending power" mean in English? Explore the meaning, pronunciation, and specific usage of this word with Lingoland.

spending power

US /ˈspɛndɪŋ ˈpaʊər/
UK /ˈspɛndɪŋ ˈpaʊə/

Noun

the amount of money that a person or group has available to spend

Example:
The new tax cuts are expected to increase consumer spending power.
Inflation has eroded the average household's spending power.