In recent years, many governments have adopted policies to help firms navigate the Covid-19 crisis and accelerate structural change toward a more digital, inclusive, and green economy. This project, funder by a 2022 PRIN grant awarded by the Ministry of University and Research (298.166€) studies how these policies—and closely related policy tools—affect the corporate sector by combining theory with rich microdata and state-of-the-art micro-econometric methods. Specifically, the project will focus on three pillars: (1) credit- and liquidity-enhancing tools (public credit guarantees and monetary policy), (2) public infrastructure investment, and (3) green policies. Beyond direct effects on investment, productivity, reallocation, and exit, we examine transmission mechanisms and heterogeneous impacts across firms and sectors. We also quantify distributional consequences for workers (e.g, wage inequality) and firms (e.g., market power).