The article "Global Zombie Companies: Measurements, Determinants, and Outcomes" by Edward I. Altman, Rui Dai, and Wei Wang examines the phenomenon of zombie firms—insolvent companies that survive due to support from financial institutions, investors, or governments—using a new measure based on interest coverage ratios and the Z-score model. The study finds that the average zombie share of listed firms increased from 1.5% in 1990 to over 7% in 2020, with small and medium-sized enterprises being particularly vulnerable. Economic growth, industry composition, and lenient monetary policies are significant factors contributing to zombieism. The presence of zombie firms leads to market congestion, hindering the growth of healthy firms. The development of global corporate bond markets also contributes to zombie firm growth. Bankruptcy reforms, especially those that are more creditor-friendly, significantly reduce the zombie ratio by 1.4% points. The study uses data from 270 GDP economies and analyzes the impact of various economic and legal factors, providing insights into the dynamics of zombie firms and their resolution.The article "Global Zombie Companies: Measurements, Determinants, and Outcomes" by Edward I. Altman, Rui Dai, and Wei Wang examines the phenomenon of zombie firms—insolvent companies that survive due to support from financial institutions, investors, or governments—using a new measure based on interest coverage ratios and the Z-score model. The study finds that the average zombie share of listed firms increased from 1.5% in 1990 to over 7% in 2020, with small and medium-sized enterprises being particularly vulnerable. Economic growth, industry composition, and lenient monetary policies are significant factors contributing to zombieism. The presence of zombie firms leads to market congestion, hindering the growth of healthy firms. The development of global corporate bond markets also contributes to zombie firm growth. Bankruptcy reforms, especially those that are more creditor-friendly, significantly reduce the zombie ratio by 1.4% points. The study uses data from 270 GDP economies and analyzes the impact of various economic and legal factors, providing insights into the dynamics of zombie firms and their resolution.