Crossword Genius

Deduce where American goes to generate terror (5)

Ross

I believe the answer is:

infer

'deduce' is the definition.
(I know that deduce can be written as infer)

I don't understand how the remainder of the clue works.

(Other definitions for infer that I've seen before include "Take finer meaning from" , "Derive as a consequence" , "Read between the line" , "Draw meaning from" , "Conclude by reasoning" .)

I've seen this clue in The Independent.
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