Here are some pieces I liked on the crisis, bailout, and future path of the financial system:
-- Great guidelines for whatever emerges (and beyond): Jamie Galbraith and William Black in The Nation, "Trust But Verify."
-- Worthwhile read by Steven Pearlstein of the Washington Post on the financial spiral.
-- on the failure of traditional economics: "Bankrupt Economics" by Robert Samuelson
I do expect more banks -- around the world -- to fail. While those with deposit insurance should be better off, emotions may be so frazzled that even it won't calm enough folks down everyone.
The US does appear to have joined the Third World. I don't understand how the "flight to quality" still leads to US govt obligations though.