I knew that python handles infinite recursion and gracefully errors out,
and I knew that exception chaining was new to 3.0, so I wanted to see if
they would work together. Apparently, they do not. Yet, the code works
fine in the 2.x branch. So, the 3.0 branch introduces a bug. I am not
sure how much clearer I can make this.

The code is in no way trying to circumvent anything. If there is about
to be a stack overflow, an exception show be raised. It should then
float up the stack. This is the desired result. In fact, this is the
only sane result. In an operating system, a program should not be able
to crash the entire system. In X, a client should not be able to crash
the server. Same principle applies here.

I am sorry I simply do not see your point. This seems so obvious. There
is a correct way of handling this error. You can safely recover from it.
If you insist on a general case, I have outlined it above.

I am not terribly thrilled about your attitude of "we might as well
leave it broken." Why bother working on the project at all?