The more complex a company's structure, Mr Lazzarini finds, the less consumers and private shareholders benefit from public investment in it.

ECONOMIST: Competition policy in Brazil

Interestingly, in further research in Brazil, Musacchio and Lazzarini found that companies that received direct government investment, as opposed to subsidized loans, tended to have better performance overall, a phenomenon they attribute to increased accountability and oversight.

FORBES: What Capitalists Should Know About State-Owned Enterprises