Government bailouts crucial for COVID-distressed firms, bankruptcy not effective.
The article suggests a better way for governments to help important companies struggling due to COVID-19. Bankruptcy doesn't work well for these cases because of the unique challenges caused by the pandemic. Instead, governments should consider bailouts or other financial help to keep these critical companies running. The key is to focus on firms that have a big impact on the economy or provide essential services. The government should follow specific principles like fairness and transparency when deciding who to help.