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If he and other experts are right, then the worst is yet to come as governments struggle to pay the debt they now owe as a result of their bank bailouts and bad investment decisions. ... They then miss the issue of bank solvency which was the primary risk of the collapsing real estate bubble. The collapse of the too-large banks threatened the overal financial system. Even with the bailouts, the banks constricted their credit. The stimulus spending is an effort to pump ...

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