RE: "subsidy"

[Todd Puccio <puccio@nova.edu>]

The term "subsidy" is only rightly used when a Government or 
Philanthropic organization gives its money to another company or 
organization that is not currently profitable for the sake of the 
common good.

It would not be correct to use the term within your own 
organization.  Such an action as you describe below is merely 
covering costs of a loss leader.

Likewise, "subsidy" cannot be equated with "investment" unless 
there was a pre-arrangement with the organization that receives 
the subsidy that at some future time they would pay back the 
subsidy with interest and/or provide other benefit directly back 
to the donating government body or philanthropic organization.

If the term "investment" is widened to include "the common good," 
Then all "subsidies" are investments, plain and simple.  Not all 
investments are wise or profitable. The term itself is value 
neutral. Only its intended targets can have value assigned to 
them.

T. Puccio