Very little good can come from seeking to protect people (or companies) from the natural consequences of their own actions.
UPDATE> But, it doesn't sound like the Feds see things the same way I do. Pelosi seems to speak for both parties when she says:
The government must bail out the financial system "because if we don't, it will have a tremendous impact on American consumers, homeowners, taxpayers and the rest," House Speaker Nancy Pelosi, D-Calif., said at a citizens' workshop in San Francisco.
But, she added, "We cannot deal with this unless this bailout helps families stay in their homes."