Yes. Shoot the Corporate Zombies. And Aim for the Head.
nicolasdvillarreal.substack.com
A few months ago Nathan Tankus penned a brief article urging caution about the conventional wisdom of zombie companies – companies where earnings have fallen below their interest payment obligations. He suggested that far from trying to shut them down these corporations through higher interest rates and a tighter credit markets in order to boost productivity, concerns about productivity and high debt levels was a function of a failure of fiscal policy. In his telling, if only we had a sufficiently expansionary fiscal policy, sales would rise at such a rate that productivity and earnings would increase, eliminating the so called zombies.
Yes. Shoot the Corporate Zombies. And Aim for the Head.
Yes. Shoot the Corporate Zombies. And Aim for…
Yes. Shoot the Corporate Zombies. And Aim for the Head.
A few months ago Nathan Tankus penned a brief article urging caution about the conventional wisdom of zombie companies – companies where earnings have fallen below their interest payment obligations. He suggested that far from trying to shut them down these corporations through higher interest rates and a tighter credit markets in order to boost productivity, concerns about productivity and high debt levels was a function of a failure of fiscal policy. In his telling, if only we had a sufficiently expansionary fiscal policy, sales would rise at such a rate that productivity and earnings would increase, eliminating the so called zombies.