[Revel]

I am sure by the description that they do include those And they amount to tens of trillions. Yes they want to unwind them all right. They want to unwind them right on to the US taxpayer. Then the bankers having been made whole again want to get started on there next ponzi scheme. But will we even be economically viable enough for that after they get done with this?

[djf]

Exactly right. They will “tighten up” lending standards to make it look to everyone that they’re on the up and up.

A year from now, they’ll say “Well, we have to loosen things a bit because the housing market is so slow...”

Same old tune. Except next time it will be even more expensive.

[palmer]

We've been taught for centuries that economies cannot be sustained on credit, but we never learn. No doubt you are right, the bankers and their apologists here will insist that the new scheme is safe and sustainable, just loosen regs a little and give us nice low interest rates and we will guarantee nirvana. And if not we have some nice nirvana default insurance we will sell to you.

The populist response is tempting (I noticed JimRob is advocating it), but the immediate pain from that would be fatal. People don't realize that they can die from pain even if a lot of the body is not injured.