A system of economic organization that is poorly managed or produces inefficiency; the opposite of good household or state management.
From Greek 'kakos' (bad) + 'oikonomia' (household management/economy), formed by 19th-century writers to critique poor economic systems. Parallel to 'cacophony' in structure.
Cacoeconomy is one of those rare words that never really caught on—English speakers preferred 'bad economy' or 'mismanagement'—but it shows how the 'kako-' prefix could theoretically create criticism of any system!
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