The key risk is the threat to inflation posed by the seemingly endless expansion of the government's balance sheet if several more financial institutions go belly up.
"Clearly this will widen the deficit by quite a bit," Nariman Behravesh, chief economist of Global Insight, said at a presentation in Toronto yesterday.
"But let's be honest, the U. S. is a very, very rich country."
"God himself could not sink this ship!" -- Captain E.J. Smith, RMS Titanic