The present crisis is scary, but only because no one knows what crazy new scheme the government will introduce every other day. Resources were invested improperly during the housing boom, and the economy needs time to heal itself. The sooner the government gets out of the way, the sooner recovery can begin.
Interesting article by the Mises Institute, an economic think-tank based in Austria and Auburn, AL. Very compelling views on why the government should let the economy heal instead of intervening.