That reversal is coming.  While it has been painful and is yet incomplete, the credit crunch has promoted a financial purging and healing process that has been even more rapid than we expected ten months ago when we last estimated system-wide credit losses.    Household deleveraging and rising wealth have substantially restored balance sheet health and, coupled with increasing income, have given consumers more wherewithal and confidence to borrow again.  For its part, Corporate America will likely soon start accumulating inventories and boosting capex, perhaps sooner than expected.  We expect that the combination of rising household and corporate credit demands and massive Treasury borrowing needs will put significant upward pressure on real yields in...