Definition, Meaning & Synonyms

government-subsidy

noun

/ˈɡʌvərnmənt ˈsʌb.sɪ.di/

Definition

A financial aid supplied by the government to support a specific business or sector.

Examples

The farmer received a government subsidy to help with crop production costs.
Many renewable energy projects benefit from government subsidies to promote clean energy use.
The housing market was bolstered by a government subsidy for first-time homebuyers.

Meaning

Government subsidies aim to encourage economic growth, stabilize prices, or promote certain industries by providing financial support to reduce costs.