Fiscal consolidation refers to a government withdrawing fiscal stimulus that was provided during an economic crisis in order to improve its financial position. This is illustrated through a story where one brother, Arjun, provides financial support to his unemployed brother, Karan, for 6 months until Karan finds a new job. Arjun is then able to discontinue the support and fulfill his own plans like buying a car, just as governments discontinue fiscal stimulus as the economy recovers.