To subsidize something is to support it by providing it with money or other resources. … So to subsidize is to underwrite something financially, providing the support that keeps it going. For example, our taxes are used by the government to subsidize many educational and social programs.
What does it mean for something to be subsidized?
transitive verb. : to furnish with a subsidy: such as. a : to purchase the assistance of by payment of a subsidy. b : to aid or promote (someone or something, such as a private enterprise) with public money subsidize soybean farmers subsidize public transportation.
What is a subsidized cost?
Meaning of subsidized price in English
a price for a product that is reduced because the government has paid part of the cost of producing it: Officials told farmers what to grow, bought their crops, and sold them at subsidized prices.
What does government subsidized mean?
A subsidy is a benefit given to an individual, business, or institution, usually by the government. … The subsidy is typically given to remove some type of burden, and it is often considered to be in the overall interest of the public, given to promote a social good or an economic policy.
What is subsidized funding?
A loan or other form of financing that a government provides directly or guarantees. Subsidized financing is available at a lower interest rate because the government does not need to make a profit and can better afford the risk of loss.
Are electric cars subsidized by the government?
USA. The U.S. federal government is subsidizing electric cars with a $7,500 consumer tax break for the first 200,000 vehicles an automaker sells.
What does subsidized employment mean?
Subsidized employment means jobs for which the employer receives a subsidy from TANF or other public funds to offset some or all ofthe wages and costs of employing an individual. The participant is paid wages and receives the same benefits as any other employee doing similar work.
Is subsidy good or bad?
In short, any subsidy that benefits women, the poor and the marginalised is good; their growth propels national growth. … Similarly, subsidies for loans given for secondary agriculture initiatives reduce the burden on primary agriculture activities, and also help whittle down disguised unemployment in the agri-sector.
Who gets the most government subsidies?
Subsidy Tracker Top 100 Parent Companies
What is subsidy for farmers?
It amounts to the difference between price paid to manufacturer of fertilizer (domestic or foreign) and price, received from farmers, rest of the burden is bear by the government. This subsidy ensures: (i) Cheap inputs to farmers, (ii) Reasonable returns to manufacturer, (iii) Stability in fertilizer prices, and.
Why does government give subsidies?
Basically, subsidies are provided by the government to specific industries with the aim of keeping the prices of products and services low for people to be able to afford them and also to encourage production and consumption.
Who gets subsidies from the government?
Most subsidies are cash grants or loans that the government gives to businesses. It encourages activities the government wishes to promote. The subsidy depends on the amount of the goods or services provided. One level of government can also give subsidies to another.
Why are government subsidies bad?
By aiding particular businesses and industries, subsidies put other businesses and industries at a disadvantage. This market distortion generates losses to the economy that are not easily seen and thus generally aren’t considered by policymakers.
Do you have to pay back a subsidized loan?
A subsidized loan is a type of federal student loan. … Once you start repayment, the government stops paying on that interest, and your repayment amount includes the original amount of the loan, and the interest, accruing from that moment.
How much subsidized loan can I get?
Subsidized and Unsubsidized Aggregate Loan Limit
|Dependent Students (except students whose parents are unable to obtain PLUS Loans)||Independent Graduate or Professional Students|
|Subsidized Loan Limit||$23,000||$65,500|
|Unsubsidized Loan Limit||$8,000||$73,000|
|Total Loan Limit||$31,000||$138,500|
What is better subsidized or unsubsidized loans?
Anyone can borrow unsubsidized federal loans, but those who qualify for the subsidized version will save more money in interest. … If you qualify, you’ll save more money in interest with subsidized loans.