No, not at all!
Rather, it's more like "no future for single Icelandic mothers who took out big, foreign-currency-denominated loans while expecting [hoping] to pay back the loan with [now bombing] Icelandic currency from a job very susceptible to economic downswings.
On the other hand, for foreigners with sizable assets denominated in foreign currencies, Iceland might be a very cushy place to settle down - or, at least, to establish a "pied-à-terre*."
This woman's story serves merely to illustrate, once again, that poor decisions usually end up biting you in the butt.
Regards,
*A pied-à-terre (French, "foot on the ground") is a small living unit usually located in a large city some distance away from an individual's primary residence.
Hmmmm. A pied-à-terre in Reykjavik. Has potential.
Now to figure out how to hide it from the wife! :-)