Fiscally stressed companies

Fiscally Stressed Corporations
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Institution

Fiscally Stressed Corporations
The fiscally stressed companies are those that have been pressed to the wall by the requirements for their existence like taxes (Baumann & Thompson, 2015). Therefore, such companies are on the verge of failing. Whether the government should bail out such companies is a debatable matter. First, there is a chance that large companies may require more money to bail out than the smaller ones due to the licenses. Some may argue that not bailing out the larger companies may give a chance to the smaller corporations to develop. That is, in all fairness, a good point. However, it is no guarantee that the upcoming organizations will be able to step into the shoes of the falling ones (Baumann & Thompson, 2015). Therefore, I believe that the government should bail out the fiscally stressed companies just to give them a chance of making it right.
If for any case these companies are not bailed out and left to succumb to their bankruptcy, the repercussions could be severe not just for the firms but also the public at large. For instance, private companies are currently among the biggest, if not the leading, employers of the citizens. Therefore, if one company runs bankrupt and closes down, the number of people that might end up being unemployed could be overwhelming. As such, the country’s economy could fall drastically. The unemployment might also intensify crimes in major cities. If the gove…