Yes this economy is taking its toll on everybody but if they can't take the dog back then they should not be breeding. I certainly understand that there are times when things are better than others, but as a breeder who chose to create that puppy, then sell it to this particular home, they knew it was still out there and may need their help at some point. They should have already had a plan of action or an open door for the puppies they produce. That is part of being a responsible breeder. That puppy didn't ask to be in this situation either.
IMO, He needs his breeders help now more than ever.