taper
n. countablen. a gradual decrease in something, especially when a government or bank starts to reduce financial support. It describes a slow narrowing or thinning of an amount over time.
n. a gradual reduction in the amount or thickness of something; in financial contexts, specifically the systematic reduction of central bank asset purchases. Often used to describe the transition away from expansionary monetary policy.
The central bank announced a taper of its monthly bond purchases.
Investors reacted nervously to the news of a taper, fearing that reduced liquidity would lead to higher interest rates.
Economists debated whether a gradual taper would stabilize the currency or if a more aggressive reduction in stimulus was necessary to curb rising inflation.
From Middle English taper, from Old English tapor (“taper, candle, wick of a lamp”), of uncertain origin. Perhaps from Latin papyrus (“papyrus", used in Mediaeval times to mean "wick of a candle”). If so, it is a doublet of papyrus. Alternatively, of Celtic origin related to Irish tapar (“taper”), Welsh tampr (“a taper, torch”); further compare Sanskrit तपती (tápati, “(it) warms, gives out heat, is hot; (it) heats”). More at tepid.
From tape + -er.
Commonly used in the singular when referring to specific economic policy shifts.