The final word on this seems to be this:

   - Wait until when we aren't in a beta release.  (DONE)

   - Quoting:

   Well, For Py3K at least we might need to consider going through the C
   API and fixing it so that these incorrect assumptions that functions
   like PyDict_GetItem() make are no longer made by introducing some new
   functions that behave in a "better" way.

   And for the recursion issue, I think it stems from corners that are
   cut in the C API by us. We inline functions all over the place, assume
   that Python's implementation underneath the hood is going to make
   calls that stay in C, etc. But as time has gone on and we have added
   flexibility to Python, more and more places have a chance to call
   Python code and trigger issues.

from Brett's e-mail at:

   http://mail.python.org/pipermail/python-dev/2008-August/082107.html

Anyone up to trying to make the C API changes required to get this
resolved?

Sean