What does "subsidy" mean?

1. (financial grant) money given by a government to help an industry or business so that prices stay low. 2. (historical crown grant) in the past, a tax or sum of money given by the British parliament to the King or Queen.

How do you use "subsidy"?

Often used with the verbs 'provide', 'receive', or 'cut'. Primarily encountered in historical or legal texts regarding the English constitution.

subsidy

US //ˈsəbsɪdi// UK //sˈʌbsɪdi// sub·sidy

1 financial grant (n.)
B2 Upper Intermediate Academic Formal

money given by a government to help an industry or business so that prices stay low.

a financial contribution granted by a government or public body to support an enterprise or keep prices competitive.

Example

The government provides a subsidy to farmers to keep the price of milk low.

Example

Agricultural subsidies remain a contentious issue in international trade negotiations, as they can distort market prices and disadvantage producers in developing nations.

Usage

Often used with the verbs 'provide', 'receive', or 'cut'.
- tax
- levy
2 historical crown grant (n.)
C2 Proficiency Archaic British English Law

in the past, a tax or sum of money given by the British parliament to the King or Queen.

a historical grant of money to the British monarch by parliament for special purposes, often derived from a tax on property.

Example

The King requested a subsidy from parliament to pay for the upcoming war.

Example

The monarch's reliance on parliamentary subsidies eventually led to a shift in the balance of power between the Crown and the legislature.

Usage

Primarily encountered in historical or legal texts regarding the English constitution.
- tribute
- tax

Origin

From Middle English subsidy, subsidie, from Anglo-Norman subsidee, subsidie, from Old French subside, from Latin subsidium (support, assistance), from subsido from sub- (“below”) + sīdō (“sit”).