In state aid law, capital injections into public undertakings play an important role. In many cases such measures are being classified as State aid. Until today, only little attention has been paid to the "owner effect", according to which an investor who is already a shareholder increases the value of his existing shareholding by the injection of fresh capital. This article - an interdisciplinary joint product of two economists and a lawyer - examines this question.
View the abstract on the Europäische Zeitschriften für wirtschaftsrecht Journal.