deleverage

English

Etymology

Etymology tree
Proto-Indo-European *de
Proto-Indo-European *-h₁
Proto-Indo-European *déh₁
Proto-Italic *dē
Latin dē
Latin dē-der.
English de-
English leverage
English deleverage

    From de- + leverage.

    Verb

    deleverage (third-person singular simple present deleverages, present participle deleveraging, simple past and past participle deleveraged)

    1. (finance, economics) To reduce debt by rapidly selling assets.
      • 2026, Hausmann-Guil, Guillermo, “Approximating around the Stochastic Steady State Matters: Rethinking Uncertainty Shocks in Small Open Economies”, in Journal of Economic Dynamics and Control, →DOI:
        Because the country is exposed to large interest rate shocks, this triggers a strong precautionary-saving response: households deleverage fast and massively.

    Translations

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