Neither tlb nor cadlin are entirely right about this from an economic standpoint. The government employing engineers is strictly speaking not a subsidy. It's j

Neither tlb nor cadlin are entirely right about this from an economic standpoint. The government employing engineers is strictly speaking not a subsidy. It's just an increase in demand. Yes, one type of a subsidy does result in an increase in demand. But causing an increase in demand is not a necessary&sufficient condition for being a subsidy. Because now the government is demanding engineers. It does not decrease supply. Someone who is employed is still by definition part of the labor market. The only person who is not a part of the labor market is someone permanently not looking for work.