Well good thing shareholders aren't on the hook for those, and the floor value of the shares is zero. Imagine a world where that wasn't the case though.
Well, that world would be closer to a true free market. The legal protection of limited liability makes modern stock markets work, but it is absolutely a massive benefit given from the working+middle class towards investors (of course there is an overlap between those groups). It’s my first argument any time I hear someone complain about capital gains tax being double taxation on top of corporate taxes.
