Agency Dictionary
Bailout
nounPronunciation: /ˈbeɪl.aʊt/
In Portuguese: Resgate
Economics & FinanceWhat does “Bailout” mean?
An emergency provision of financial assistance to a failing company, bank, or economy to prevent insolvency.
Etymology
A noun made from the phrasal verb bail out. English has two verbs bail: one means to scoop water out of a boat, from the old noun bail, "bucket", from French baille; the other belongs to the legal bail, "security given for a prisoner's release", from Old French bail, "custody", from baillier, "to take charge of", from Latin bajulare, "to carry a burden". Dictionaries do not agree on which of the two lies behind the financial sense, and both images, emptying a sinking boat and paying to free someone, fit it. The noun for a financial rescue of a company or a bank spread in American English in the second half of the 20th century.
Usage note
The noun is written as one word (a bank bailout) and the verb as two (to bail out a bank). British English also uses the spelling bale out for leaving an aircraft or emptying a boat.
Synonyms
- rescue
- rescue package
- lifeline
- relief
Often confused with
- ransom
- A ransom is money demanded for the release of a captive; a bailout is financial help that keeps an institution from failing. Portuguese resgate covers both.
Word family
- bail
Rhymes with
- doubt
- shout
- scout
- about
Concepts
- Bank RunA bank run occurs when a large number of depositors simultaneously withdraw their funds from a financial institution due to fears of insolvency. Because banks operate on…
- LiquidityLiquidity refers to the speed and ease with which an asset can be converted into ready cash without incurring significant loss of market value. In commercial banking…
- Moral HazardMoral hazard is an economic phenomenon where an individual or institution takes excessive risks because another party will bear the financial burden of failure. In…
- Socialization of LossesThe socialization of losses describes a political and economic arrangement in which private corporations keep financial profits during booms but transfer catastrophic…
Source editions
Where this entry comes from in the Agency editorial.
Words of the same theme
- Consumernoun
- An individual or group that acquires, purchases, or consumes physical or commercial goods and services for personal use. In marketing, consumers are studied for purchasing patterns and brand preferences.
- brokeragenoun
- The business, activity, or fee of a licensed broker who facilitates commercial transactions between buyers and sellers.
- cinnamonnoun
- An aromatic spice obtained from the stripped inner bark of several tree species of the genus Cinnamomum.
- commoditynoun
- A basic primary good, agricultural staple, or raw material that is interchangeable with other goods of the same type.
- Corporativismnoun
- The defence of the interests of a business class or professional group above the general interest, and the culture built around it. The word also names a political and economic system organized through corporations of employers, workers and professions.
- Deficitnoun
- The amount by which a sum of money falls short of the required or expected amount, particularly when spending exceeds revenue.
- denariusnoun
- A standard silver coin in ancient Roman currency that served as the principal denomination of daily commerce and military pay.
- fiat currencynoun
- Government-issued legal tender not backed by a physical commodity such as gold or silver.
- Incentivenoun
- A motivating factor, reward, or condition that incites or encourages an individual or business to take action.
- intangibleadjective
- Incapable of being perceived by touch or physical senses, yet possessing recognizable economic or conceptual worth.
Also from these editions: terms
- Agoranoun
- A public open space in ancient Greek cities used for assemblies, commercial markets, and philosophical dialogue.
- Chitonnoun
- A draped garment or tunic worn by men and women in ancient Greece, usually fastened at the shoulders by brooches.
- Deflationaryadjective
- Tending to cause or associated with a general and persistent decline in price levels across an economy.
- Emporoinoun
- Ancient Greek merchants or maritime traders who carried goods between different city-states and overseas ports.
- Ephemeraladjective
- Lasting for only a very brief period of time; fleeting, transitory, or impermanent in nature.
- Eruditeadjective
- Characterized by great knowledge, extensive learning, and scholarly cultivation across diverse disciplines.
- Himationnoun
- An outer garment consisting of a large rectangular mantle draped over the body, worn in ancient Greece.
- Hydrianoun
- An ancient Greek ceramic water vessel featuring three handles, used for carrying and pouring fresh water.
- Oratorynoun
- The formal skill, art, or practice of public speaking with eloquence, clarity, and persuasive power.
- Stagnationnoun
- A state of inactivity, sluggishness, or lack of growth in an economy or commercial system.
- Volatilitynoun
- The liability to change rapidly and unpredictably, especially in the market price of an asset or security.
Also from these editions: concepts
- SocratesSocrates was a philosopher of Athens in the fifth century BCE who left no writings and is known through his students, above all Plato. The Agency editorial names him in…
- Carl SaganCarl Sagan was an American astronomer and science communicator, the presenter of the series Cosmos and the author of The Demon-Haunted World. The Agency editorial names…
- Marcus AureliusMarcus Aurelius was a Roman emperor of the second century and a Stoic philosopher, known for the book called Meditations. In the Agency editorial, Issue.7 names him among…
- NeroNero was a Roman emperor of the first century, the last of the Julio-Claudian dynasty. In the Agency editorial he is named twice, each time in one sentence: Issue.7 says…
- Steve CarellSteve Carell is an American actor and comedian, known for the role of Michael Scott in the series The Office. In the Agency editorial, Issue.4 names him in a joke at its…
- Adam McKayAdam McKay is an American film director and screenwriter, born in 1968, who directed The Big Short (2015). Issue.7 names him once, as the director of that film, in the…
- Brad PittBrad Pitt is an American actor and film producer, born in 1963. Issue.7 names him once, last in a list of four actors of The Big Short, in the section 7.6.2 History in…
- Christian BaleChristian Bale is a British actor, born in 1974. Issue.7 names him once, in a list of four actors of The Big Short, in the section 7.6.2 History in Cinema.
- Joe BidenJoe Biden is an American politician, born in 1942, who was the 46th president of the United States from 2021 to 2025. Issue.7 does not name him in person: it mentions the…
- John ThornhillJohn Thornhill is a journalist whom Issue.7 identifies as the Innovation Editor of the Financial Times. The edition cites him once, in a block credited to the Financial…
- Ken GriffinKen Griffin is an American investor, born in 1968, who founded the hedge fund Citadel. Issue.7 cites him once, in a block credited to the Financial Times about the rescue…
- PericlesPericles was an Athenian statesman and general of the 5th century BCE, who led Athens in the period often called its Golden Age. Issue.7 opens its trip to Ancient Athens…