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What is a subsidy?

What is a subsidy? Here are some definitions.

Noun
  1. Financial support or assistance, such as a grant.
  2. (dated) Money granted by parliament to the British Crown.
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Examples
Albany could easily cut this subsidy at least in half and still pay for real charity care.
The maternal subsidy would vary in proportion to the number of their children under the age of majority.
Witney woolmen in the early 15th century included John Hood, a subsidy commissioner and possibly a merchant of the Staple.
The operators later changed their minds after the administration rejected their demand for the subsidy.
But already there's a note of warning from those accused of maladministering the subsidy.
Does it make sense to give each of us a subsidy, when we can perfectly well afford the full price?

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