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subsidy

UK/ˈsʌbsɪdi/US/ˈsʌbsɪdi/
nounC1Rare in speech; mostly a word you read · #14,037 of 15,258leans written

Other forms: subsidies

A subsidy is government money paid to keep a price low or an industry alive. Farm subsidies, a fuel subsidy, cut the subsidies.

The point is to make something cheaper than the market would: subsidised housing, subsidised transport, a subsidised meal. Subsidies are politically hard to remove because the people who lose them notice immediately and the people who pay do not. Note subsidise, the verb, and cross-subsidy, where profits from one part of a business pay for another. The plural is subsidies.

Definitions of subsidy

  1. 1nounsubsidyGovernment money paid to keep a price low or an industry alive.C1

    “The subsidy was cut and the route closed within a year.”

subsidy is a financial support.

Where it comes from

Latin subsidium meant reserve troops held in support — sub-, under, plus sedere, to sit. It came into English as a tax granted to a monarch, and only in the modern era reversed direction to mean money flowing the other way.

  1. Latin

    subsidium

  2. Old French

    subside

  3. Anglo-Norman

    subsidee

  4. Middle English

    subsidy

  5. English, today

    subsidy

From Middle English subsidy, subsidie, from Anglo-Norman subsidee, subsidie, from Old French subside, from Latin subsidium, from subsido from sub- + sīdō.

Etymology from Wiktionary, CC BY-SA

Practised in Shopping & Money, Politics & Society

Practise this word

subsidy in the wild

  • There is a difference between an ad valorem tax and a specific tax or subsidy in the way it is applied to the price of the good.

    Effect of taxes and subsidies on price

  • Subsidized housing is a subsidy aimed towards alleviating housing costs and expenses for impoverished people with low to moderate incomes.

    Subsidized housing

  • An export subsidy reduces the price paid by foreign importers, which means domestic consumers pay more than foreign consumers.

    Export subsidy

  • Kerosene subsidy was introduced during the 2nd Five Year Plan and since 2009 slowly decreased until 2022 when it was eliminated.

    Subsidies in India

  • The 1332 subsidy was the first for which many assessments survive.

    Subsidy roll

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From Wikipedia, CC BY-SA 4.0. These sentences were written by other people about their own subjects; they are here to show the word at work, not as anybody’s opinion.

Related words

the subside family

subsidizesubsidy

subsidy — used about once every 33,333 pages · #14,037 · point at the bar for the others