Your Uncle Is Pleased to Hear You're Taking Macroeconomics;this Whole

Essay

Your uncle is pleased to hear you're taking macroeconomics;this whole financial crisis is puzzling him.He's also not happy about "bailing" out the banks.He is pretty good with graphs,so don't be afraid to use them to explain the following:
a.How does the rapid decline of the housing market and the subprime implosion affect the macroeconomy?
b.And why,pray tell,would we bail out the banks? Aren't there potential long-run problems with doing this?