How much subsidy does a company pay


(Grants), (Tax breaks, tax subsidies), Subsidy report

Subsidies. Total volume of subsidies in Germany
Donations, e.g. B. direct cash benefits (Grants) or tax discounts (Tax breaks, tax subsidies), which the state grants to certain companies or economic sectors (mining, agriculture) without direct market-economy consideration. Subsidies to private households (e.g. social assistance, housing benefit) are also referred to as transfer payments (see there) or social benefits. The one to be drawn up by the federal government every two years Subsidy report also includes services to private households that make certain goods cheaper, such as housing subsidies.

Subsidies to companies are intended to promote economic behavior (e.g. help with setting up a business or for environmental protection investments), facilitate adaptation to a changed economic situation (e.g. help to reduce capacity in the steel industry) or also preserve certain economic areas (e.g. B. Aid for agriculture and mining). Subsidies are viewed critically in a market economy because they distort the market.

Duden Wirtschaft from A to Z: Basic knowledge for school and study, work and everyday life. 6th edition. Mannheim: Bibliographisches Institut 2016. Licensed edition Bonn: Federal Agency for Civic Education 2016.