BusinessJuly 22, 2026
misallocation
/ˌmɪsˌæləˈkeɪʃən/
Definition
The act or process of distributing resources, funds, or assets incorrectly, inefficiently, or to the wrong parties.
Etymology
The word is formed by adding the prefix 'mis-' (meaning wrongly or badly) to 'allocation,' which comes from the Medieval Latin 'allocare,' meaning to place or assign.
In the news
The article uses 'misallocation' to describe how China's state-controlled financial system directs capital toward unproductive political projects rather than economically efficient ones. This highlights a structural weakness in China's economy compared to the market-driven U.S. system.
America’s capital markets offer the key AI advantage over China
Read the full article ↗Washington Examiner