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I'm not an economist, but isn't it bad for overall economic health to have huge swaths of your country's workforce tied up in failing firms indirectly propped u

I'm not an economist, but isn't it bad for overall economic health to have huge swaths of your country's workforce tied up in failing firms indirectly propped up by the government?

pyuser583 6y ago
Yes, but why do you think the government is supporting them and why do you think they’re failing? My own experience is that failing firms pay more. They can’t offer security, and tend to lay off as many people as possible. The layoffs leave the firm top-heavy. In order to recruit new staff they have to pay more. Who wants to be VP of a failing company? Regarding propping them up, I don’t see how making up the difference between a given wage and the amount necessary to live a decent life is propping up the company. I’m very much in favor of minimum wage laws. But I don’t see them as government propping up failing companies.