"And don't forget the fact that short selling was illegal until earlier this year, and even now only a limited number of stocks are allowed to be shorted"

... which means the crash will be even faster and more brutal.

Remember, short positions close by buying the shorted security. This means that in a healthy (albeit declining) market there is always buying at every level down as shorts cover.

Limiting short selling is a misguided feel-good move ... a PR stunt that only serves to make the pain worse.