Kevin O’Leary slammed an idea floated by President Trump to potentially use $500 million in taxpayer funds to bail out Spirit Airlines.
The entrepreneur and television personality argued that government intervention in the economy is a bad idea, saying it leads to picking winners and losers in the free market, something that typically drives up prices, lowers the quality of goods and services, and reinforces the idea that government should play a larger role in the economy, a viewpoint more commonly associated with socialist-leaning arguments on the left.
O’Leary argued that the free market should be allowed to function without interference, letting inefficient companies fail while stronger ones rise to the top, a process that ensures the American economy remains the best in the world.
Kevin O’Leary just says the Trump administration’s consideration of a $500 million bailout for Spirit Airlines is a very bad idea.
— Overton (@overton_news) April 24, 2026
“You want to let them die — That’s what keeps America great.”
O’LEARY: “Bad idea, really bad idea. Bad precedent.”
“All of these rescue bailout… pic.twitter.com/CVRzxakVXK
"The Trump administration is discussing a $500 million rescue deal, aka bailout, for Spirit Airlines, and the government would own 90 percent of the airline," News Nation's Katie Pavlich said. "A lot of Republicans in town in Washington, D.C. are upset about this, saying it's picking winners and losers. I personally think that the airline should die if they can't keep up, especially when you basically have to swipe your credit card to get the landing gear out before you hit the tarmac. What do you think about this potential bailout?"
"Bad idea. Really bad idea. Bad precedent," O'Leary said. "All of these rescue bailout programs to failing companies. Capitalism works because the losers die, the protein goes to the bottom of the ocean. It's acquired by private equity firms, lenders, or other strategic buyers. But it's bad management, and you don't want to support bad management. You want to let them die. That's how the private system works. The best rise to the top, and the loser dogs go out of business. That's what keeps America great. That's why it works. That's why it's the number one economy on earth. That's why everybody wants to be an entrepreneur, to try and set themselves free."
Even law professor Jonathan Turley criticized the idea, quoting one of the most brilliant economists of the 20th century, Milton Friedman.
"The suggestion that the government should buy out and own 90 percent of Spirit Airlines reminds me of something Milton Friedman said," Turley wrote. "'If you put the federal government in charge of the Sahara Desert, in 5 years there'd be a shortage of sand.'"
The suggestion that the government should buy out and own 90 percent of Spirit Airlines reminds me of something Milton Friedman said: "If you put the federal government in charge of the Sahara Desert, in 5 years there'd be a shortage of sand."
— Jonathan Turley (@JonathanTurley) April 23, 2026
This comes as just yesterday, President Trump floated purchasing the airline to save the roughly 18,000 people working at Spirit.
"We're looking at helping them," he told reporters at the White House. "We have 18,000 people that live in this country that are great people and great employees. We're thinking about doing it, helping them out, meaning bailing them out or buying it."
"I think we just buy it. We'd be getting it virtually debt-free. They have some good aircraft, some good assets. And when the price of oil goes down, we'll sell it for a profit. I'd love to be able to save those jobs. I'd love to be able to save an airline. You know, we I like having a lot of airlines. So it's competitive. So we are looking at Spirit. It's in a bankruptcy. It's in bankruptcy court. And we're looking if we could get it for the right price, I'd do it to save the jobs. And we have somebody that wants to run it, do a good job, smart person. And if they run it properly and if prices come down, all of a sudden it's a valuable asset. And they have some very good slots, too, which are pretty valuable."
.@POTUS on Spirit Airlines: "I think we just buy it. We'd be getting it virtually debt-free. They have some good aircraft, good assets — and when the price of oil goes down, we'll sell it for a profit. I'd love to be able to save those jobs... I like having a lot of airlines so… pic.twitter.com/4AxH8ftuxE
— Rapid Response 47 (@RapidResponse47) April 23, 2026
Historically, bailouts have contributed not only to economic crises like the 2008 financial collapse, but also to the perception that the government prioritizes large corporations over the working class. What many don’t realize is that rescuing failing businesses can distort the free market, which helps explain why some Democrats and even certain conservatives are consistently skeptical of capitalism.
The concern is less about markets themselves and more about government intervention that favors certain companies over others, reducing real competition in the process.
A commonly cited example is Medicaid, which critics argue has contributed to rising health insurance costs for other Americans, or government-incentivized low-income housing programs, which have put upward pressure on broader housing prices.
The bailout of Spirit Airlines, of course, wouldn’t have a massive macroeconomic impact on its own, but as O’Leary argued, it sets a concerning precedent when the government steps in to rescue individual companies instead of allowing market forces to determine winners and losers.
