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Plenty of industries have gone bankrupt over the years. They are not always bailed out, or at least not bailed out successfully. Some examples in the US: the textile industry, the furniture industry, and the slave trade. Coal is headed in the same direction because market forces (the cost of coal and pressure from environmentalists and by extension everyday consumers) are working against it.
Yes, there is no alternative to planes... some of the time. Everybody has a flight they have to catch every once in a while. But some people fly twenty times a year for pleasure, some people maybe only once a year. If you have a wedding or funeral invitation on the other side of the U.S., yeah you pretty much have to take a plane. But if you're planning a vacation or travel to a couple states over, you absolutely do have the choice to just not fly.
Covid did not indicate a floor to air travel. As I already said, it was a situation where airlines had the choice between saving money in the short term (by stopping flights) or breaking their contracts with airports and losing money in the long term once traffic resumed. If the drop-off in travel had simply been due to permanent reduced demand for flying in general—due to, for example, people taking fewer long-distance flights for vacations due to increased concern over carbon emissions—they would have simply given up on those routes and reduced the number of flights permanently.
I was not talking about freight rail, I was talking about passenger rail. Lots of passenger rail companies went bankrupt - no consolidation, just your company went out of business because nobody wanted to take the train. I do know some sketchy shit went on to drive the nail into the coffin and lead to Amtrak but the long decline before that was due to the market forces of people having cars and wanting to use them.
Finally, yes I agree that there is no true "alternative" to airlines, nor is there a true "alternative" to consuming electricity. But, you can still choose to reduce your consumption of those things.