Subsidy

Definition

Subsidy is a form of financial aid or support extended to an economic sector (or institution, business, or individual) generally with the aim of promoting economic and social policy.

Parts of Speech

• Noun

Pronunciation

American English:

• IPA Pronunciation: /ˈsʌbsɪdi/
• Respelling: SUB-si-dee (with "SUB" as in "submarine," "si" as in "sit," and "dee" as in "deep")

British English:

• IPA Pronunciation: /ˈsʌbsɪdi/
• Respelling: SUB-si-dee (similar to American English, with "SUB" as in "submarine," "si" like in "sit," and "dee" as in "deep")

In both dialects, "subsidy" is pronounced with the primary stress on the first syllable, "SUB." The pronunciation is consistent between American and British English, reflecting the word's straightforward phonetic structure.

Etymology

The term "subsidy" originates from the Latin word subsidium, which refers to assistance or support. It evolved through Middle French subside into the Old French subsides, before adopting its current English form.

Derivatives

• Subsidize
• Subsidization
• Subsidizer
• Subsidizable
• Unsubsidized

Synonyms

• Grant
• Allowance
• Contribution

Antonyms

• Surcharge
• Levy
• Tariff

Usage

The word "subsidy" is predominantly used in economic and political contexts, referring to monetary support provided by government or any other institution to support a particular activity or to keep the price of a commodity low.

Related Terms

• Subvention
• Stipend
• Financial Aid

Detailed Definition

Noun

• Monetary Support: A sum of money granted by the state or a public body to help an industry or business keep the cost of a commodity or service low.‍
• Example: The government provides a subsidy to farmers to ensure a stable food supply.

• Financial Assistance: Financial support given to people in need, such as scholarships or grants.‍
• Example: Students can apply for a housing subsidy if they are facing financial difficulties.

• Support for Cause: Monetary or other types of support provided to promote a social or economic cause.‍
• Example: The non-profit received a subsidy to continue its community outreach programs.