offsetting

Offsetting is a process used to balance out or counteract certain activities, often related to finance or environmental efforts. In finance, it involves reducing the impact of one action by taking a corresponding opposite action, like using gains in one area to cover losses in another. Environmentally, offsetting refers to compensating for emissions or resource use by investing in projects that reduce or absorb similar impacts elsewhere, such as planting trees to offset carbon emissions. Overall, offsetting aims to create a net neutral effect by balancing positives and negatives across different activities.