It's not like there are other options. The bailouts are needed now or the economy collapses. The government is the only body capable of stimulating the economy when the businesses and consumers have lost their faith in it. This means more government spending and increasing foreign debt, which in itself is getting out of hand and is going to bankrupt the whole country if something isn't done fast. Fixing the first immediate problem makes the second one worse. In the long run massive spending cuts and tax raises will be required, as well as reforming the health care system, which by 2050 will eat over 20% of the GDP annually and will keep rising.

Quite amazing how it got like this in 8 years from the big budget surplus the previous years. Well not amazing really, all it took was 2 huge tax cuts for the rich, 2 wars and a medicare bill to boost drug company profits.