sub·​si·​dy ˈsəb-sə-dē How to pronounce subsidy (audio)
plural subsidies
: a grant or gift of money: such as
: a sum of money formerly granted by the British Parliament to the crown and raised by special taxation
: money granted by one state to another
: 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
Recent Examples on the Web With the federal government poised to slash subsidies for internet service, L.A. County has started work on a wireless broadband network that will deliver high-speed connections for as little as $25 a month. Jon Healey, Los Angeles Times, 10 May 2024 Most of the Trump tariffs are expected to remain in place, but Mr. Biden plans to go beyond those by raising levies in areas that the president showered with subsidies in the 2022 Inflation Reduction Act. Jim Tankersley, New York Times, 10 May 2024 See all Example Sentences for subsidy 

These examples are programmatically compiled from various online sources to illustrate current usage of the word 'subsidy.' Any opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback about these examples.

Word History


Middle English subsidie, from Anglo-French, from Latin subsidium reserve troops, support, assistance, from sub- near + sedēre to sit — more at sub-, sit

First Known Use

14th century, in the meaning defined above

Time Traveler
The first known use of subsidy was in the 14th century

Dictionary Entries Near subsidy

Cite this Entry

“Subsidy.” Dictionary, Merriam-Webster, Accessed 19 May. 2024.

Kids Definition


sub·​si·​dy ˈsəb-səd-ē How to pronounce subsidy (audio)
plural subsidies
: a grant or gift especially of money
especially : a grant by a government to a private person or company or to another government to assist an undertaking thought helpful to the public

More from Merriam-Webster on subsidy

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