Etymology
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purse (n.)

Middle English purs, purse, from Old English pursa "little bag or pouch made of leather," especially for carrying money, from Medieval Latin bursa "leather purse" (source also of Old French borse, 12c., Modern French bourse; compare bourse), from Late Latin bursa, variant of byrsa "hide," from Greek byrsa "hide, leather." Change of b- to p- perhaps is by influence of Old English pusa, Old Norse posi "bag."

From c. 1300 as "the royal treasury;" figurative sense of "money, means, resources, funds" is from mid-14c. Meaning "sum of money collected as a prize in a race, etc.," is from 1640s. Meaning "woman's handbag" is attested by 1879. Also in Middle English "scrotum" (c. 1300).

Purse-strings, figurative for "control of money," is by early 15c. Purse-snatcher first attested 1902 (earlier purse-picker, 1540s; purse-cutter, mid-15c.; pursekerver, late 14c.). The notion of "drawn together by a thong" also is behind purse-net "bag-shaped net with a draw string," used in hunting and fishing (c. 1400). Purse-proud (1680s) was an old term for "proud of one's wealth."

purse (v.)

c. 1300, pursen, "put (money) in a purse;" c. 1600 as "draw together and wrinkle" (as the strings of a money bag), from purse (n.). For sense, compare pucker (v.), probably from poke "bag, sack." Related: Pursed; pursing.

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Definitions of purse
1
purse (n.)
a container used for carrying money and small personal items or accessories (especially by women);
Synonyms: bag / handbag / pocketbook
purse (n.)
a sum of money spoken of as the contents of a money purse;
he made the contribution out of his own purse
he and his wife shared a common purse
purse (n.)
a small bag for carrying money;
purse (n.)
a sum of money offered as a prize;
the purse barely covered the winner's expenses
2
purse (v.)
contract one's lips into a rounded shape;
purse (v.)
gather or contract into wrinkles or folds; pucker;
purse ones's lips
Synonyms: wrinkle
From wordnet.princeton.edu