Overvalue Meaning: Definition, Examples, and Translations
💰
overvalue
[ˌəʊvəˈvæljuː ]
Definitions
financial
To estimate the value of something too highly.
Synonyms
exaggerate, inflate, overestimate.
Which Synonym Should You Choose?
Word | Description / Examples |
---|---|
overvalue |
This word is used when someone gives too much worth or importance to something, often in a financial or evaluative sense. It can also imply emotional or subjective bias.
|
overestimate |
Overestimate is used when someone thinks that some quantity, ability, or value is higher or better than it truly is. It usually implies a specific judgment or calculation error.
|
inflate |
This word is often used in financial or economic contexts to describe the action of increasing prices or quantities unnaturally. It can also describe making something appear more significant than it is.
|
exaggerate |
Exaggerate is used when someone makes something seem larger, better, or more important than it really is. Often relates to storytelling or describing events and can imply dishonesty or dramatic effect.
|
Examples of usage
- He tends to overvalue his possessions when calculating his net worth.
- She warned him not to overvalue the company's stock.
- The real estate market is known to overvalue properties in certain areas.
general
To place too high a value on something.
Synonyms
overemphasize, overprize, overrate.
Which Synonym Should You Choose?
Word | Description / Examples |
---|---|
overvalue |
Listed twice, same as the first entry regarding assessing worth or importance. |
overrate |
Commonly used in everyday conversation to indicate that something is given too much credit or regarded more highly than it deserves. Often has a negative connotation.
|
overprize |
Rarely used, it refers to placing too high a value or importance on something, might often involve subjective or personal valuation.
|
overemphasize |
Appropriate when discussing situations where excessive importance or stress is placed on a particular point or aspect.
|
Examples of usage
- It is easy to overvalue the importance of material possessions.
- People often tend to overvalue their own contributions to a group project.
Translations
To see the translation, please select a language from the options available.
Interesting Facts
Economics
- In economics, overvaluation can lead to market bubbles, where asset prices rise rapidly beyond their true worth.
- Historically, the dot-com bubble in the late 1990s was a classic example, where many tech stocks were overvalued before the market crashed.
- An overvalued currency can affect international trade, making exports more expensive and imports cheaper, potentially harming local industries.
Psychology
- Overvaluing possessions can be linked to emotional attachment, where personal value overrides monetary worth.
- Cognitive biases, such as the 'sunk cost fallacy,' can lead individuals to overvalue investments they've already made, even if they are no longer beneficial.
- Social influence can also cause overvaluation, as peer pressure can lead people to inflate the worth of trends or items simply because they are popular.
Pop Culture
- In popular media, the concept of overvaluation is explored in movies like 'The Big Short,' which illustrates how financial illusions can mislead entire markets.
- Many reality TV shows glamorize overvaluing lifestyles, where cast members frequently show off luxury items that may not hold actual long-term value.
- The phrase 'keeping up with the Joneses' embodies the social tendency to overvalue material possessions that others possess.
Literature
- In literature, characters often face dilemmas involving overvaluation, like in 'The Great Gatsby,' where wealth and status are misinterpreted as measures of happiness.
- Shakespeare explored themes of overvalue in 'King Lear,' where the protagonist misjudges the loyalty and love of his daughters based on material gifts.
- Modern novels often depict the folly of overvaluing youth and beauty, leading characters to tragic ends as they chase after temporary values.
Origin of 'overvalue'
Main points about word origin
- The word 'overvalue' is derived from 'over,' meaning excessively, and 'value,' which comes from the Latin 'valere,' meaning to be worth.
- It first appeared in the English language in the late 19th century, evolving from earlier uses of 'value' into a concept of excessive worth.
- The prefix 'over-' adds a sense of excess, indicating a departure from a balanced or reasonable consideration of worth.
The word 'overvalue' originated from the combination of 'over-' and 'value', dating back to the early 19th century. It has been used in various contexts, especially in financial and general discussions, to indicate an excessive estimation or placement of value on something.
See also: devaluation, devalue, evaluable, invaluable, overvaluation, overvalued, revaluation, undervaluation, undervalue, undervalued, unvaluable, unvalued, valuable, valuables, valuation, valuator, valued, valueless, values, valuing.