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This book presents a conceptual analysis of the definitions of State Aid and subsidy in EC and WTO law. It provides a comparative analysis of the regulation of subsidy in both systems, examining the coherence of the conceptual understanding of subsidy and the grounds for legitimate state intervention. The current regulation in EC and WTO law is analysed, compared and assessed in depth, and tested against a proposed benchmark of optimal regulation of subsidies in each legal system and, more generally, at the international level. Drawing on the comparative analysis, the book argues that both systems can learn valuable lessons from each other to achieve a greater coherence and more efficient regulatory system.This book presents a conceptual analysis of the definitions of state aid and subsidy in EC and WTO law. It provides a comparative analysis of the regulation of subsidy in both systems, examining the coherence of the conceptual understanding of subsidy and the grounds for legitimate state intervention.