We’re still in that crucible

Even though markets are back to where they were and the GDP is back to where it was, nonetheless the pandemic situation could not have possibly had a negligible impact on the economy. After 18 months the truth is that we still don’t know what all the consequences will be.

Even before the impact of COVID there was a phenomenon whereby very low interest rates were enabling unprofitable corporations to keep going:

https://en.wikipedia.org/wiki/Zombie_company

During the pandemic the list of zombies burgeoned. In addition to low rates enabling servicing of debt, there were direct subsidy payments enabling retention of payroll. But eventually all the companies that continue to be unprofitable will have to fold. There are more of them than the government economists or the financial press choose to publicize.