Expenditure-switching policies are economic strategies used to move spending away from foreign products toward products made within a country. The main goal is to improve the current account balance by lowering imports and increasing exports, all while keeping the total demand for goods and services stable.

Common methods include:

• Exchange rate devaluation: Making a local currency weaker so that imported goods cost more and exported goods become cheaper for other countries.
• Protectionist measures: Using tools like tariffs (taxes on imports) or quotas (limits on the amount of imports allowed).

These policies are different from expenditure-reducing policies, which focus on lowering total spending in the economy to fix trade imbalances.