There is a great piece here by Kevin O'Rourke in a 'Letter from Ireland'
It is a heartfelt account of the tragedy of the Irish economic situation. It highlights the injustice of the seemingly unlimited bank bailout for those who precipitated the crisis. Yet, no matter how much we explain the cause of the crisis, it is the ordinary Irish voter who is facing the consequences of high unemployment, spending cuts and a fragile economy.
In France, Eric Cantona suggests a mass withdrawal of cash from French banks on December 7th. This will be about as helpful as asking Nicolas Sarkozy to play for the French football team, or asking Silvio Berlusconi to head an EU wide Ethics and morality committee.
The irony is that a mass withdrawal of cash could create a liquidity shortage, and the French government offering a bailout to the banks. I guess this would come from taxpayers who withdrew the cash. It certainly wouldn't hurt the bankers.
Economics is more concerned with the optimal distribution of resources that dealing with injustice. But, given the nature of the crisis, a rescue package should have, at least, shared the burden between taxpayer and banks. To offer an unlimited bailout for a banking system that is not just illiquid, but broke is wrong. The government could have made bond holders pay some of the cost.
The best way to learn from this banking crisis would be to put in place reforms which reduce the incentive for banks to get carried away with lending in a boom. Easier said than done, but there are some policies which would help. Bank Reforms