Kevin O'Leary says give stimulus to the people who need it, not 'zombie companies'

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O'Leary described the U.S. as having 'have and have not' sectors, with some currently at a serious disadvantage.

After receiving a $25 billion industry-wide bailout in March under the CARES Act, commercial airlines in the U.S. are now pressing Congress and the White House for renewed funding of the same amount, assistance they say is necessary to cover payrolls and prevent tens of thousands more from getting laid off.

But many economists agree with O'Leary and oppose more bailouts, arguing that there is no point spending taxpayer money to keep airlines running at pre-pandemic capacity when travel has been so downsized. Instead, they say, the industry needs to face reality and restructure. And House Speaker has refused the notion of helping airlines without a broader relief package for the country, one of the many sticking points that has kept stimulus progress frozen for months.So what should the stimulus funding ultimately accomplish? For O'Leary, it's whatever makes the economy more efficient and adapted to the rapid industry transformations underway thanks to the pandemic and ensuing work-from-home boom.

"All of this stimulus money at the end of the day should be towards this transition that's occurring in the U.S. and everywhere else in the world — a giant digital pivot," he said, adding that companies already thriving thanks to their digital platforms — like e-commerce — don't need any stimulus help.

"Businesses that can work online, sell direct to their customers, the Nikes of the world … are very successful. Why should the government be providing capital to them when they don't have to? Just the sectors like travel, like entertainment, like food services, like cruise lines, like the wedding industry — they're all wiped out. That's 20% of the economy. Give them unemployment checks while those employees figure out where to go next.

 

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Apple seems to be a zombie one

only the unemployed should get it

kevinolearytv is right.

The White House and fed are propping up zombie company’s , it is very suspicious

Along with mismanaged Blue States who keep their states closed and find themselves in debit. Why, small business can’t open, employees can’t work, children aren’t allowed back at school, and places like CA Disneyland is closed all while FL Disney has been open for 4 months.

DUH, but GOP won’t vote for that

The lust of rich people sometimes is stronger than poor people's will to survive. So the rich will always find their ways, especially in a nation built on capitalism.

Didn't senate just try to do that?

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