The Zombification of the Economy

So-called ''zombie companies,'' firms that are in debt to the point of needing bailouts to survive, have been rising steadily in number since the '90s -- steadily that is until coronavirus pandemic-induced lockdowns took place. Those events caused the number of zombies to skyrocket, creating more than 600 zombie corporations (out of 3,000 large companies) with $2.6 trillion in debt. These firms are just limping along, harming the American economy as they go. The trend is clear and unsustainable. However there is no clear path of how the Us could solve this problem. These could become a very serious problem in the US as other economies are lending money to productive projects while a lot of money might end in zombie projects that will not add to the economy in the long run. What is the solution for this?

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