the synthesis here is you want macro bailed-out while micro churns. productivity gains mostly happen via new entrants or at least new plant. a downturn should be an incredible opportunity for new entrants, as the worst of the old crash and burn! 1/

but for it to be an opportunity for new entrants, end customers still need to have cash to spend, even while it is some of their employers who have crashed and burned. that's where state transfers, spending, and lending have an essential role. 2/

let losers lose, create conditions under which new winners can emerge. /fin