We introduce the universal unitarily graded A-algebra for a commutative ring
A and an arbitrary abelian extension U of the group of units of A, and use this
concept to give simplified proofs of the main theorems of co-Galois theory in
the sense of T. Albu. The main tool is a generalisation of a theorem by M.
Kneser which, in our language, is a criterion for the universal algebra to be a
field when the base ring A is itself a field. This theorem implies also the
theorem of A. Schinzel on linearly independent roots. We discuss examples
involving the injective hull of the multiplicative group of a field and we
develop criteria for Galois extensions which allow a co-Galois grading, in
particular for the cyclic case.Comment: Some minor changes; to appear in Acta Arithmetic