Recessions are inevitable, the social consequences can be fixed by social and government action. Unfortunately, more pain doesn't automatically generate a reset of the system. Sometimes more pain overloads a society and everything goes to hell.
We need a bailout of our banks, yes, but more importantly a bailout for ordinary working Americans. Universal health insurance, investment in renewable energy and redirecting our $1 trillion war budget into education and science would be a nice start. It probably won't happen in my lifetime, but I can dream, can't I...