deleverage

English

Etymology

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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