Sometimes a little destruction must happen in order for new healthy companies to rise and fill the gap. How is propping up failing companies keeping the economy strong? It's leaving a half rotten bush in place instead of pulling out the broken parts, prune down what's left in order to encourage healthy growth, and let the sunlight in to encourage new plants to come up.
Sure there are. No one knows about them though.

Think of it in terms of Airlines. Many airlines had to go broke, the government had to step out of the way, and Southwest popped up as a cheap, but not fancy, airline. Couldn't do that until a few airlines went bankrupt.
New Car companies you've never heard of: http://www.forbes.com/sites/joannmuller/2012/03/01/is-america-blowing-its-chance-to-lead-in-electric-vehicles/