I agree with where you're coming from, and I don't really want to be arguing against just deserts of bankruptcies.

I'm just saying that looking at the big picture, choosing the catastrophic option is not productive. And so it will never have political buy in (politics is driven by business, not voters), even from businesses that don't need a bailout.

Letting bad behavior continue to occur for long stretches with the idea that there's going to be some eventual reckoning just isn't realistic. Fundamentally, even if a bunch of companies do go bankrupt, the executive compensation won't be clawed back - so the looters still make out. Rather, the bad practices need to be reigned in when they're occurring. And those bad practices run far deeper than the simple technique of stock buybacks.