In theory you can always deflect deflation by expanding money supply. However that is not just giving it to banks, but ensuring it gets into the community and turns over.
It is hard to imagine consumer spending increasing much when it is limited by high debt, high unemployment, reducing wages and greater uncertainty. All those things also make the banks less willing to lend, let alone any issues they have with commercial real estate securities going sour.
Some of the sharp downturn in manufacturing may have been due low stocks being carried because of just in time manufacturing so an improvement could be faster when restocking is resumed, but capacity utilisation is very low which affects profitability.
The markets are up but I suggest that is due to three things. The banks can borrow cheaply and use this to speculate. Two most of the turnover around 80% is within day trading as those with advance knowledge game the system. Three is the psychological factor call it denial, or optimism or being seduced by the
PR.
Certainly a lot has been thrown at propping up the system but some question that beyond the necessity of keeping the ship afloat in the meantime if the fundamentals of spending too much and borrowing too much have been resolved.
My pick is a slow recovery as these things are worked through over some years, with a good chance of a further major downturn as more cockroaches emerge from the woodwork.