subsidy

noun

sub·​si·​dy ˈsəb-sə-dē 

-zə-

plural subsidies

: a grant or gift of money: such as

a

: a sum of money formerly granted by the British Parliament to the crown and raised by special taxation

b

: money granted by one state to another

c

: a grant by a government to a private person or company to assist an enterprise deemed advantageous to the public

Synonyms

• allocation
• allotment
• annuity
• appropriation
• entitlement
• grant
• subvention

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

During her presidential campaign in 2019, Harris proposed a $10 trillion plan to reduce greenhouse gas emissions, which includes a climate pollution fee, and the ending of federal fossil fuels subsidies. —Chad De Guzman, TIME, 22 July 2024

For example, in 2022, Biden signed the Inflation Reduction Act, which extended enhanced Affordable Care Act subsidies, making ACA health plans more affordable for millions of households; those subsidies last through 2025. —Cnbc.com Personal Finance Staff, CNBC, 22 July 2024

Yet Musk himself recently called for the elimination of subsidies for the electric industry. —Eva Roytburg, Fortune, 19 July 2024

Zoom out: China's strong household savings are helping fund the government's subsidies for the manufacturing sector that's drawing pushback from global competitors, including the U.S. By the numbers: Production in China's factories is strong, but demand for the nation's production is weak. —Courtenay Brown, Axios, 16 July 2024

Word History

Etymology

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

Phrases Containing subsidy

• anti-subsidy

Kids Definition

subsidy

noun

sub·​si·​dy ˈsəb-səd-ē 

-zəd-

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