Well the Fed is going to buy bad corporate debt. If not, many large corporations would go under....as they are supposed to do in a free market capitalist system. So there are three ways to handle such situations. 1. Bailouts - This is the route the United States is taking. It's not up to Congress. This power has been delegated to the unelected group of bankers that comprise the Federal Reserve. The powerful get bailed out, just as the banks did a decade ago. Moral hazard is encouraged. Little guys in trouble fail. The bankers decide who gets bailed out. 2. Bankruptcy. This is the preferred method of a capitalist economy. The argument against is that certain companies are simply too big to fail; that all Americans will suffer if these corporations aren't bailed out. 3. Nationalization. This is also a bailout, the difference is that ownership is taken away from current management and placed in the hands of government. The argument against this is that governments with all their inefficiency, bureaucracy , and red tape does a poor job. The argument for this is that the present system has morphed into a system where private owners use their own companies to extract wealth from the corporation for their own personal gain by encouraging risky, and reckless behavior for which they are not held accountable. So which path do you prefer? We are going to get choice #1, but what are your thoughts?