iːˈkɒn.ə.mi iːˈkɑn.ə.mi ˈseɪv.ɪŋ an act of economizing; reduction in cost it was a small economy to walk to work every day there was a saving of 50 cents frugality in the expenditure of money or resources the Scots are famous for their economy the efficient use of resources economy of effort the system of production and distribution and consumption