Gregor, Martin; Roháč, Dalibor - Institut ekonomických studií, Univerzita Karlova v Praze - 2009
We extend a model of wasteful state aid in Dewatripont and Seabright (2006, Journal of the European Economic … state aid control by a benevolent authority which receives extra signals about the state of the world. We find that signals … this setup, the optimal state aid control is fairly often no control. …