Hard bump ahead? Decline in insolvencies and bankruptcies is a ticking time bomb
- Written by Kevin Davis, Emeritus Professor of Finance, The University of Melbourne
The vast arsenal of fiscal, monetary and legal measures used by Australian governments to offset the COVID-induced economic crisis have worked well. They did not prevent a recession (defined technically as two quarters of negative GDP growth) but things could have been much worse.
What is particularly interesting is that the expected consequences...