The COVID-19 Bailouts

US policy makers responded to the COVID-19 epidemic by providing $1.8 trillion in private sector bailouts. We collect data on all bailouts for publicly-listed firms. We document empirical facts of the bailout programs and discuss policy implications. A surprisingly large fraction of the bailout firms are start-up like firms, for which the bailouts appear to be a windfall. The effective tax rate of bailed out firms is 4%. This is the first paper to collect and analyze data on the COVID-19 bailouts.

PDF version of paper: Click here 

First version: April 25, 2020


About us:

Jean-Marie Meier is an assistant professor of finance at the University of Texas at Dallas. For more information see www.jean-mariemeier.com.

Jake Smith is a finance PhD student at the University of Texas at Dallas. For more information see https://jindal.utdallas.edu/phd-students/jake-smith.