If the US adopts Europe's model, the Treasury Department may run out of money, just in trying to keep the companies open. Will they pay the workers flat wage or based on earning capacity? As long as the government is the one footing the bills, it really makes no difference, because once the cheques stop coming, those companies will still layoff the staff.
You simply cannot be on lockdown, and at the same time pretend that business is going on; it doesn't add.
So, anytime the government stops guaranteeing such payments, the layoffs will automatically kick in; until such a time when businesses can start collecting revenues from actual products and services offered, no magic there.
Some governments may even file for administration, because the debt they keep racking up will certainly get to a point where it becomes insolvent and unmanageable. So, the only viable option is to ease restrictions on lockdown and allow economic activities to gradually pick up.
If the US adopts Europe's model, the Treasury Department may run out of money, just in trying to keep the companies open. Will they pay the workers flat wage or based on earning capacity? As long as the government is the one footing the bills, it really makes no difference, because once the cheques stop coming, those companies will still layoff the staff.
You simply cannot be on lockdown, and at the same time pretend that business is going on; it doesn't add.
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So, anytime the government stops guaranteeing such payments, the layoffs will automatically kick in; until such a time when businesses can start collecting revenues from actual products and services offered, no magic there.
Some governments may even file for administration, because the debt they keep racking up will certainly get to a point where it becomes insolvent and unmanageable. So, the only viable option is to ease restrictions on lockdown and allow economic activities to gradually pick up.
