Definition of subsidy
: a grant or gift of money: asa : a sum of money formerly granted by the British Parliament to the crown and raised by special taxationb : money granted by one state to anotherc : a grant by a government to a private person or company to assist an enterprise deemed advantageous to the public
Examples of subsidy in a sentence
The city is increasing subsidies for public transit.
<government subsidies for farmers in case of crop failure>
SUBSIDY Defined for English Language Learners
Definition of subsidy for English Language Learners
: money that is paid usually by a government to keep the price of a product or service low or to help a business or organization to continue to function
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