diff --git a/compiler/backend/src/org/jetbrains/jet/codegen/GenerationState.java b/compiler/backend/src/org/jetbrains/jet/codegen/GenerationState.java
index 56b432cf2c9..c106eeaed70 100644
--- a/compiler/backend/src/org/jetbrains/jet/codegen/GenerationState.java
+++ b/compiler/backend/src/org/jetbrains/jet/codegen/GenerationState.java
@@ -30,7 +30,7 @@ public class GenerationState {
 
     public GenerationState(Project project, ClassBuilderFactory builderFactory) {
         this.project = project;
-        this.standardLibrary = JetStandardLibrary.getJetStandardLibrary(project);
+        this.standardLibrary = JetStandardLibrary.getJetStandardLibrary(project, true);
         this.factory = new ClassFileFactory(builderFactory, this);
         this.intrinsics = new IntrinsicMethods(project, standardLibrary);
     }
@@ -82,7 +82,7 @@ public class GenerationState {
 
     public void compile(JetFile psiFile) {
         final JetNamespace namespace = psiFile.getRootNamespace();
-        final BindingContext bindingContext = AnalyzingUtils.getInstance(JavaDefaultImports.JAVA_DEFAULT_IMPORTS).analyzeNamespace(namespace, JetControlFlowDataTraceFactory.EMPTY);
+        final BindingContext bindingContext = AnalyzingUtils.getInstance(JavaDefaultImports.JAVA_DEFAULT_IMPORTS, true).analyzeNamespace(namespace, JetControlFlowDataTraceFactory.EMPTY);
         AnalyzingUtils.throwExceptionOnErrors(bindingContext);
         compileCorrectNamespaces(bindingContext, Collections.singletonList(namespace));
 //        NamespaceCodegen codegen = forNamespace(namespace);
diff --git a/compiler/backend/src/org/jetbrains/jet/compiler/CompileSession.java b/compiler/backend/src/org/jetbrains/jet/compiler/CompileSession.java
index e90fda9eb8a..43f4661b726 100644
--- a/compiler/backend/src/org/jetbrains/jet/compiler/CompileSession.java
+++ b/compiler/backend/src/org/jetbrains/jet/compiler/CompileSession.java
@@ -84,7 +84,7 @@ public class CompileSession {
             }
             return false;
         }
-        final AnalyzingUtils instance = AnalyzingUtils.getInstance(JavaDefaultImports.JAVA_DEFAULT_IMPORTS);
+        final AnalyzingUtils instance = AnalyzingUtils.getInstance(JavaDefaultImports.JAVA_DEFAULT_IMPORTS, true);
         List<JetNamespace> allNamespaces = new ArrayList<JetNamespace>(mySourceFileNamespaces);
         allNamespaces.addAll(myLibrarySourceFileNamespaces);
         myBindingContext = instance.analyzeNamespaces(myEnvironment.getProject(), allNamespaces, Predicates.<PsiFile>alwaysTrue(), JetControlFlowDataTraceFactory.EMPTY);
diff --git a/compiler/frontend.java/src/org/jetbrains/jet/lang/resolve/java/AnalyzerFacade.java b/compiler/frontend.java/src/org/jetbrains/jet/lang/resolve/java/AnalyzerFacade.java
index 6ad38396927..9be40fce997 100644
--- a/compiler/frontend.java/src/org/jetbrains/jet/lang/resolve/java/AnalyzerFacade.java
+++ b/compiler/frontend.java/src/org/jetbrains/jet/lang/resolve/java/AnalyzerFacade.java
@@ -34,7 +34,7 @@ public class AnalyzerFacade {
         }
     };
     
-    private static final AnalyzingUtils ANALYZING_UTILS = AnalyzingUtils.getInstance(JavaDefaultImports.JAVA_DEFAULT_IMPORTS);
+    private static final AnalyzingUtils ANALYZING_UTILS = AnalyzingUtils.getInstance(JavaDefaultImports.JAVA_DEFAULT_IMPORTS, true);
     private final static Key<CachedValue<BindingContext>> BINDING_CONTEXT = Key.create("BINDING_CONTEXT");
     private static final Object lock = new Object();
 
diff --git a/compiler/frontend/src/org/jetbrains/jet/lang/JetSemanticServices.java b/compiler/frontend/src/org/jetbrains/jet/lang/JetSemanticServices.java
index 5a73728db37..c666125cd19 100644
--- a/compiler/frontend/src/org/jetbrains/jet/lang/JetSemanticServices.java
+++ b/compiler/frontend/src/org/jetbrains/jet/lang/JetSemanticServices.java
@@ -17,7 +17,11 @@ public class JetSemanticServices {
     }
 
     public static JetSemanticServices createSemanticServices(Project project) {
-        return new JetSemanticServices(JetStandardLibrary.getJetStandardLibrary(project));
+        return createSemanticServices(project, true);
+    }
+
+    public static JetSemanticServices createSemanticServices(Project project, boolean loadFullLibrary) {
+        return new JetSemanticServices(JetStandardLibrary.getJetStandardLibrary(project, loadFullLibrary));
     }
 
     private final JetStandardLibrary standardLibrary;
diff --git a/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/CallableDescriptor.java b/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/CallableDescriptor.java
index 4e78d2c81f5..afc9560badb 100644
--- a/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/CallableDescriptor.java
+++ b/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/CallableDescriptor.java
@@ -1,6 +1,7 @@
 package org.jetbrains.jet.lang.descriptors;
 
 import org.jetbrains.annotations.NotNull;
+import org.jetbrains.annotations.Nullable;
 import org.jetbrains.jet.lang.resolve.scopes.receivers.ReceiverDescriptor;
 import org.jetbrains.jet.lang.types.JetType;
 import org.jetbrains.jet.lang.types.TypeSubstitutor;
@@ -24,6 +25,9 @@ public interface CallableDescriptor extends DeclarationDescriptor {
     @NotNull
     JetType getReturnType();
 
+    @Nullable
+    JetType getReturnTypeSafe();
+
     @NotNull
     @Override
     CallableDescriptor getOriginal();
diff --git a/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/FunctionDescriptorImpl.java b/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/FunctionDescriptorImpl.java
index ef3ab5aefa0..7f8a7943a88 100644
--- a/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/FunctionDescriptorImpl.java
+++ b/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/FunctionDescriptorImpl.java
@@ -125,6 +125,12 @@ public class FunctionDescriptorImpl extends DeclarationDescriptorImpl implements
         return unsubstitutedReturnType;
     }
 
+    @Override
+    @Nullable
+    public JetType getReturnTypeSafe() {
+        return unsubstitutedReturnType;
+    }
+
     @NotNull
     @Override
     public FunctionDescriptor getOriginal() {
diff --git a/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/PropertyDescriptor.java b/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/PropertyDescriptor.java
index 354979ecac9..1205e95477d 100644
--- a/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/PropertyDescriptor.java
+++ b/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/PropertyDescriptor.java
@@ -118,6 +118,11 @@ public class PropertyDescriptor extends VariableDescriptorImpl implements Callab
         return getOutType();
     }
 
+    @Override
+    @Nullable
+    public JetType getReturnTypeSafe() {
+        return getOutType();
+    }
 
     public boolean isVar() {
         return isVar;
diff --git a/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/PropertyGetterDescriptor.java b/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/PropertyGetterDescriptor.java
index 01bde2bf062..753d0cd4923 100644
--- a/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/PropertyGetterDescriptor.java
+++ b/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/PropertyGetterDescriptor.java
@@ -45,6 +45,12 @@ public class PropertyGetterDescriptor extends PropertyAccessorDescriptor {
         return returnType;
     }
 
+    @Override
+    @Nullable
+    public JetType getReturnTypeSafe() {
+        return returnType;
+    }
+
     @Override
     public <R, D> R accept(DeclarationDescriptorVisitor<R, D> visitor, D data) {
         return visitor.visitPropertyGetterDescriptor(this, data);
diff --git a/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/PropertySetterDescriptor.java b/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/PropertySetterDescriptor.java
index d5f2038a282..365aa645651 100644
--- a/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/PropertySetterDescriptor.java
+++ b/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/PropertySetterDescriptor.java
@@ -53,6 +53,11 @@ public class PropertySetterDescriptor extends PropertyAccessorDescriptor {
         return JetStandardClasses.getUnitType();
     }
 
+    @Override
+    public JetType getReturnTypeSafe() {
+        return getReturnType();
+    }
+
     @Override
     public <R, D> R accept(DeclarationDescriptorVisitor<R, D> visitor, D data) {
         return visitor.visitPropertySetterDescriptor(this, data);
diff --git a/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/VariableDescriptorImpl.java b/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/VariableDescriptorImpl.java
index 6daefbce285..827fcbeab9a 100644
--- a/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/VariableDescriptorImpl.java
+++ b/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/VariableDescriptorImpl.java
@@ -89,4 +89,10 @@ public abstract class VariableDescriptorImpl extends DeclarationDescriptorImpl i
     public JetType getReturnType() {
         return getOutType();
     }
+
+    @Override
+    @Nullable
+    public JetType getReturnTypeSafe() {
+        return getOutType();
+    }
 }
diff --git a/compiler/frontend/src/org/jetbrains/jet/lang/diagnostics/Errors.java b/compiler/frontend/src/org/jetbrains/jet/lang/diagnostics/Errors.java
index da7edd9d6fe..785e9abbae6 100644
--- a/compiler/frontend/src/org/jetbrains/jet/lang/diagnostics/Errors.java
+++ b/compiler/frontend/src/org/jetbrains/jet/lang/diagnostics/Errors.java
@@ -16,6 +16,7 @@ import java.lang.reflect.Field;
 import java.lang.reflect.Modifier;
 import java.util.Collection;
 import java.util.Iterator;
+import java.util.List;
 
 import static org.jetbrains.jet.lang.diagnostics.Severity.ERROR;
 import static org.jetbrains.jet.lang.diagnostics.Severity.WARNING;
@@ -275,7 +276,10 @@ public interface Errors {
     ParameterizedDiagnosticFactory2<JetType, Integer> TYPE_MISMATCH_IN_TUPLE_PATTERN = ParameterizedDiagnosticFactory2.create(ERROR, "Type mismatch: subject is of type {0} but the pattern is of type Tuple{1}"); // TODO: message
     ParameterizedDiagnosticFactory2<JetType, JetType> TYPE_MISMATCH_IN_BINDING_PATTERN = ParameterizedDiagnosticFactory2.create(ERROR, "{0} must be a supertype of {1}. Use 'is' to match against {0}");
     ParameterizedDiagnosticFactory2<JetType, JetType> INCOMPATIBLE_TYPES = ParameterizedDiagnosticFactory2.create(ERROR, "Incompatible types: {0} and {1}");
-    
+
+    ParameterizedDiagnosticFactory1<JetType> CANNOT_CHECK_FOR_ERASED = ParameterizedDiagnosticFactory1.create(ERROR, "Cannot check for instance of erased type: {0}");
+    ParameterizedDiagnosticFactory2<JetType, JetType> UNCHECKED_CAST = ParameterizedDiagnosticFactory2.create(WARNING, "Unchecked cast: {0} to {1}");
+
     ParameterizedDiagnosticFactory3<TypeParameterDescriptor, ClassDescriptor, Collection<JetType>> INCONSISTENT_TYPE_PARAMETER_VALUES = new ParameterizedDiagnosticFactory3<TypeParameterDescriptor, ClassDescriptor, Collection<JetType>>(ERROR, "Type parameter {0} of {1} has inconsistent values: {2}") {
         @Override
         protected String makeMessageForA(@NotNull TypeParameterDescriptor typeParameterDescriptor) {
diff --git a/compiler/frontend/src/org/jetbrains/jet/lang/resolve/AnalyzingUtils.java b/compiler/frontend/src/org/jetbrains/jet/lang/resolve/AnalyzingUtils.java
index 483a5673739..2eb18914627 100644
--- a/compiler/frontend/src/org/jetbrains/jet/lang/resolve/AnalyzingUtils.java
+++ b/compiler/frontend/src/org/jetbrains/jet/lang/resolve/AnalyzingUtils.java
@@ -28,8 +28,8 @@ import java.util.*;
  * @author abreslav
  */
 public class AnalyzingUtils {
-    public static AnalyzingUtils getInstance(@NotNull ImportingStrategy importingStrategy) {
-        return new AnalyzingUtils(importingStrategy);
+    public static AnalyzingUtils getInstance(@NotNull ImportingStrategy importingStrategy, boolean loadStdlib) {
+        return new AnalyzingUtils(importingStrategy, loadStdlib);
     }
 
     public static void checkForSyntacticErrors(@NotNull PsiElement root) {
@@ -53,9 +53,11 @@ public class AnalyzingUtils {
     }
 
     private final ImportingStrategy importingStrategy;
+    private final boolean loadStdlib;
 
-    private AnalyzingUtils(ImportingStrategy importingStrategy) {
+    private AnalyzingUtils(ImportingStrategy importingStrategy, boolean loadStdlib) {
         this.importingStrategy = importingStrategy;
+        this.loadStdlib = loadStdlib;
     }
 
     public BindingContext analyzeNamespace(@NotNull JetNamespace namespace, @NotNull JetControlFlowDataTraceFactory flowDataTraceFactory) {
@@ -71,7 +73,7 @@ public class AnalyzingUtils {
             @NotNull Predicate<PsiFile> filesToAnalyzeCompletely,
             @NotNull JetControlFlowDataTraceFactory flowDataTraceFactory) {
         BindingTraceContext bindingTraceContext = new BindingTraceContext();
-        JetSemanticServices semanticServices = JetSemanticServices.createSemanticServices(project);
+        JetSemanticServices semanticServices = JetSemanticServices.createSemanticServices(project, loadStdlib);
 
         JetScope libraryScope = semanticServices.getStandardLibrary().getLibraryScope();
         ModuleDescriptor owner = new ModuleDescriptor("<module>");
diff --git a/compiler/frontend/src/org/jetbrains/jet/lang/resolve/BodyResolver.java b/compiler/frontend/src/org/jetbrains/jet/lang/resolve/BodyResolver.java
index ef5e309947f..7637f611a8e 100644
--- a/compiler/frontend/src/org/jetbrains/jet/lang/resolve/BodyResolver.java
+++ b/compiler/frontend/src/org/jetbrains/jet/lang/resolve/BodyResolver.java
@@ -82,7 +82,7 @@ public class BodyResolver {
         resolveSecondaryConstructorBodies();
         resolveFunctionBodies();
 
-        computeDeferredTypes();        
+        computeDeferredTypes();
     }
     
     private void resolveDelegationSpecifierLists() {
@@ -501,6 +501,18 @@ public class BodyResolver {
         for (Map.Entry<JetNamedFunction, FunctionDescriptorImpl> entry : this.context.getFunctions().entrySet()) {
             JetNamedFunction declaration = entry.getKey();
             FunctionDescriptor descriptor = entry.getValue();
+            
+            if (descriptor.getReturnType() instanceof DeferredType) {
+                // handle type inference loop: function body contains a closure that calls that function
+                //
+                // fun f() = { f() }
+                //
+                // function type resolution must be started before function body resolution
+                //
+
+                DeferredType returnType = (DeferredType) descriptor.getReturnType();
+                returnType.getActualType();
+            }
 
             JetScope declaringScope = this.context.getDeclaringScopes().get(declaration);
             assert declaringScope != null;
@@ -545,7 +557,8 @@ public class BodyResolver {
     private void computeDeferredTypes() {
         Collection<Box<DeferredType>> deferredTypes = context.getTrace().getKeys(DEFERRED_TYPE);
         if (deferredTypes != null) {
-            final Queue<DeferredType> queue = new Queue<DeferredType>(deferredTypes.size());
+            // +1 is a work around agains new Queue(0).addLast(...) bug // stepan.koltsov@ 2011-11-21
+            final Queue<DeferredType> queue = new Queue<DeferredType>(deferredTypes.size() + 1);
             context.getTrace().addHandler(DEFERRED_TYPE, new ObservableBindingTrace.RecordHandler<Box<DeferredType>, Boolean>() {
                 @Override
                 public void handleRecord(WritableSlice<Box<DeferredType>, Boolean> deferredTypeKeyDeferredTypeWritableSlice, Box<DeferredType> key, Boolean value) {
diff --git a/compiler/frontend/src/org/jetbrains/jet/lang/types/JetStandardLibrary.java b/compiler/frontend/src/org/jetbrains/jet/lang/types/JetStandardLibrary.java
index 62923713125..c90e935e043 100644
--- a/compiler/frontend/src/org/jetbrains/jet/lang/types/JetStandardLibrary.java
+++ b/compiler/frontend/src/org/jetbrains/jet/lang/types/JetStandardLibrary.java
@@ -29,16 +29,24 @@ import java.util.Set;
 public class JetStandardLibrary {
 
     // TODO : consider releasing this memory
-    private static JetStandardLibrary cachedLibrary = null;
+    private static JetStandardLibrary cachedFullLibrary = null;
+    private static JetStandardLibrary cachedQuickLibrary = null;
     //    private static final Map<Project, JetStandardLibrary> standardLibraryCache = new HashMap<Project, JetStandardLibrary>();
 
     // TODO : double checked locking
     synchronized
-    public static JetStandardLibrary getJetStandardLibrary(@NotNull Project project) {
-        if (cachedLibrary == null) {
-            cachedLibrary = new JetStandardLibrary(project);
+    public static JetStandardLibrary getJetStandardLibrary(@NotNull Project project, boolean loadFullLibrary) {
+        if (loadFullLibrary) {
+            if (cachedFullLibrary == null) {
+                cachedFullLibrary = new JetStandardLibrary(project, true);
+            }
+            return cachedFullLibrary;
+        } else {
+            if (cachedQuickLibrary == null) {
+                cachedQuickLibrary = new JetStandardLibrary(project, false);
+            }
+            return cachedQuickLibrary;
         }
-        return cachedLibrary;
 //        JetStandardLibrary standardLibrary = standardLibraryCache.get(project);
 //        if (standardLibrary == null) {
 //            standardLibrary = new JetStandardLibrary(project);
@@ -47,6 +55,12 @@ public class JetStandardLibrary {
 //        return standardLibrary;
     }
 
+    public static JetStandardLibrary getJetStandardLibrary(@NotNull Project project) {
+        return getJetStandardLibrary(project, true);
+    }
+
+    private final boolean loadFullLibrary;
+
     private JetScope libraryScope;
 
     private ClassDescriptor numberClass;
@@ -122,20 +136,27 @@ public class JetStandardLibrary {
     private NamespaceDescriptor typeInfoNamespace;
     private Set<FunctionDescriptor> typeInfoFunction;
 
-    private JetStandardLibrary(@NotNull Project project) {
-        // TODO : review
-        InputStream stream = JetStandardClasses.class.getClassLoader().getResourceAsStream("jet/Library.jet");
+    private JetStandardLibrary(@NotNull Project project, boolean loadFullLibrary) {
+        this.loadFullLibrary = loadFullLibrary;
+
         try {
-            //noinspection IOResourceOpenedButNotSafelyClosed
-            JetFile file = (JetFile) PsiFileFactory.getInstance(project).createFileFromText("Library.jet",
-                    JetFileType.INSTANCE, FileUtil.loadTextAndClose(new InputStreamReader(stream)));
+            JetFile file = null;
+            if (loadFullLibrary) {
+                // TODO : review
+                InputStream stream = JetStandardClasses.class.getClassLoader().getResourceAsStream("jet/Library.jet");
+                //noinspection IOResourceOpenedButNotSafelyClosed
+                file = (JetFile) PsiFileFactory.getInstance(project).createFileFromText("Library.jet",
+                        JetFileType.INSTANCE, FileUtil.loadTextAndClose(new InputStreamReader(stream)));
+            }
 
             JetSemanticServices bootstrappingSemanticServices = JetSemanticServices.createSemanticServices(this);
             BindingTraceContext bindingTraceContext = new BindingTraceContext();
             WritableScopeImpl writableScope = new WritableScopeImpl(JetStandardClasses.STANDARD_CLASSES, JetStandardClasses.STANDARD_CLASSES_NAMESPACE, RedeclarationHandler.THROW_EXCEPTION).setDebugName("Root bootstrap scope");
 //            this.libraryScope = bootstrappingTDA.process(JetStandardClasses.STANDARD_CLASSES, file.getRootNamespace().getDeclarations());
 //            bootstrappingTDA.process(writableScope, JetStandardClasses.STANDARD_CLASSES_NAMESPACE, file.getRootNamespace().getDeclarations());
-            TopDownAnalyzer.processStandardLibraryNamespace(bootstrappingSemanticServices, bindingTraceContext, writableScope, JetStandardClasses.STANDARD_CLASSES_NAMESPACE, file.getRootNamespace());
+            if (loadFullLibrary) {
+                TopDownAnalyzer.processStandardLibraryNamespace(bootstrappingSemanticServices, bindingTraceContext, writableScope, JetStandardClasses.STANDARD_CLASSES_NAMESPACE, file.getRootNamespace());
+            }
 //            this.libraryScope = JetStandardClasses.STANDARD_CLASSES_NAMESPACE.getMemberScope();
 
             AnalyzingUtils.throwExceptionOnErrors(bindingTraceContext.getBindingContext());
@@ -153,6 +174,11 @@ public class JetStandardLibrary {
     private void initStdClasses() {
         if(libraryScope == null) {
             this.libraryScope = JetStandardClasses.STANDARD_CLASSES_NAMESPACE.getMemberScope();
+
+            if (!loadFullLibrary) {
+                return;
+            }
+
             this.numberClass = (ClassDescriptor) libraryScope.getClassifier("Number");
             this.byteClass = (ClassDescriptor) libraryScope.getClassifier("Byte");
             this.charClass = (ClassDescriptor) libraryScope.getClassifier("Char");
diff --git a/compiler/frontend/src/org/jetbrains/jet/lang/types/expressions/BasicExpressionTypingVisitor.java b/compiler/frontend/src/org/jetbrains/jet/lang/types/expressions/BasicExpressionTypingVisitor.java
index 0446105d479..10c3ca8cae5 100644
--- a/compiler/frontend/src/org/jetbrains/jet/lang/types/expressions/BasicExpressionTypingVisitor.java
+++ b/compiler/frontend/src/org/jetbrains/jet/lang/types/expressions/BasicExpressionTypingVisitor.java
@@ -1,6 +1,7 @@
 package org.jetbrains.jet.lang.types.expressions;
 
 import com.google.common.collect.Lists;
+import com.google.common.collect.Multimap;
 import com.intellij.lang.ASTNode;
 import com.intellij.psi.PsiElement;
 import com.intellij.psi.tree.IElementType;
@@ -8,6 +9,7 @@ import org.jetbrains.annotations.NotNull;
 import org.jetbrains.annotations.Nullable;
 import org.jetbrains.jet.JetNodeTypes;
 import org.jetbrains.jet.lang.descriptors.*;
+import org.jetbrains.jet.lang.diagnostics.Errors;
 import org.jetbrains.jet.lang.psi.*;
 import org.jetbrains.jet.lang.resolve.*;
 import org.jetbrains.jet.lang.resolve.calls.CallMaker;
@@ -245,10 +247,58 @@ public class BasicExpressionTypingVisitor extends ExpressionTypingVisitor {
         else {
             if (typeChecker.isSubtypeOf(actualType, targetType)) {
                 context.trace.report(USELESS_CAST.on(expression, expression.getOperationSign()));
+            } else {
+                if (isCastErased(actualType, targetType)) {
+                    context.trace.report(Errors.UNCHECKED_CAST.on(expression, actualType, targetType));
+                }
             }
         }
     }
 
+    /**
+     * Check if assignment from ActualType to TargetType is erased.
+     * It is an error in "is" statement and warning in "as".
+     */
+    public static boolean isCastErased(JetType actualType, JetType targetType) {
+
+        JetType targetTypeClerared = TypeUtils.makeUnsubstitutedType(
+                (ClassDescriptor) targetType.getConstructor().getDeclarationDescriptor(), null);
+
+        Multimap<TypeConstructor, TypeProjection> clearTypeSubstitutionMap =
+                TypeUtils.buildDeepSubstitutionMultimap(targetTypeClerared);
+
+        Set<JetType> clearSubstituted = new HashSet<JetType>();
+
+        for (int i = 0; i < actualType.getConstructor().getParameters().size(); ++i) {
+            TypeParameterDescriptor subjectTypeParameterDescriptor = actualType.getConstructor().getParameters().get(i);
+
+            Collection<TypeProjection> subst = clearTypeSubstitutionMap.get(subjectTypeParameterDescriptor.getTypeConstructor());
+            for (TypeProjection proj : subst) {
+                clearSubstituted.add(proj.getType());
+            }
+        }
+
+        for (int i = 0; i < targetType.getConstructor().getParameters().size(); ++i) {
+            TypeParameterDescriptor typeParameter = targetType.getConstructor().getParameters().get(i);
+            TypeProjection typeProjection = targetType.getArguments().get(i);
+
+            if (typeParameter.isReified()) {
+                continue;
+            }
+
+            // "is List<*>"
+            if (typeProjection.equals(TypeUtils.makeStarProjection(typeParameter))) {
+                continue;
+            }
+
+            // if parameter is mapped to nothing then it is erased
+            if (!clearSubstituted.contains(typeParameter.getDefaultType())) {
+                return true;
+            }
+        }
+        return false;
+    }
+
     @Override
     public JetType visitTupleExpression(JetTupleExpression expression, ExpressionTypingContext context) {
         List<JetExpression> entries = expression.getEntries();
diff --git a/compiler/frontend/src/org/jetbrains/jet/lang/types/expressions/PatternMatchingTypingVisitor.java b/compiler/frontend/src/org/jetbrains/jet/lang/types/expressions/PatternMatchingTypingVisitor.java
index 6b8b8d0630c..86bc4e82677 100644
--- a/compiler/frontend/src/org/jetbrains/jet/lang/types/expressions/PatternMatchingTypingVisitor.java
+++ b/compiler/frontend/src/org/jetbrains/jet/lang/types/expressions/PatternMatchingTypingVisitor.java
@@ -1,11 +1,14 @@
 package org.jetbrains.jet.lang.types.expressions;
 
+import com.google.common.collect.Multimap;
 import com.google.common.collect.Sets;
 import com.intellij.lang.ASTNode;
 import com.intellij.openapi.util.Ref;
 import org.jetbrains.annotations.NotNull;
 import org.jetbrains.annotations.Nullable;
+import org.jetbrains.jet.lang.descriptors.TypeParameterDescriptor;
 import org.jetbrains.jet.lang.descriptors.VariableDescriptor;
+import org.jetbrains.jet.lang.diagnostics.Errors;
 import org.jetbrains.jet.lang.psi.*;
 import org.jetbrains.jet.lang.resolve.calls.autocasts.DataFlowInfo;
 import org.jetbrains.jet.lang.resolve.calls.autocasts.DataFlowValue;
@@ -17,8 +20,7 @@ import org.jetbrains.jet.lang.resolve.scopes.receivers.ReceiverDescriptor;
 import org.jetbrains.jet.lang.resolve.scopes.receivers.TransientReceiver;
 import org.jetbrains.jet.lang.types.*;
 
-import java.util.List;
-import java.util.Set;
+import java.util.*;
 
 import static org.jetbrains.jet.lang.diagnostics.Errors.*;
 import static org.jetbrains.jet.lang.types.expressions.ExpressionTypingUtils.ensureBooleanResultWithCustomSubject;
@@ -245,6 +247,9 @@ public class PatternMatchingTypingVisitor extends ExpressionTypingVisitor {
                 }
             }
 
+            /*
+             * (a: SubjectType) is Type
+             */
             private void checkTypeCompatibility(@Nullable JetType type, @NotNull JetType subjectType, @NotNull JetElement reportErrorOn) {
                 // TODO : Take auto casts into account?
                 if (type == null) {
@@ -253,6 +258,29 @@ public class PatternMatchingTypingVisitor extends ExpressionTypingVisitor {
                 if (TypeUtils.intersect(context.semanticServices.getTypeChecker(), Sets.newHashSet(type, subjectType)) == null) {
 //                        context.trace.getErrorHandler().genericError(reportErrorOn.getNode(), "Incompatible types: " + type + " and " + subjectType);
                     context.trace.report(INCOMPATIBLE_TYPES.on(reportErrorOn, type, subjectType));
+                    return;
+                }
+                
+                {
+                    // check parameters compatible
+                    Multimap<TypeConstructor, TypeProjection> typeSubstritutionMap = TypeUtils.buildDeepSubstitutionMultimap(type);
+
+                    for (int i = 0; i < subjectType.getConstructor().getParameters().size(); ++i) {
+                        TypeParameterDescriptor subjectTypeParameterDescriptor = subjectType.getConstructor().getParameters().get(i);
+                        TypeProjection subjectParameterType = subjectType.getArguments().get(i);
+
+                        Collection<TypeProjection> xxy = typeSubstritutionMap.get(subjectTypeParameterDescriptor.getTypeConstructor());
+                        for (TypeProjection proj : xxy) {
+                            if (!context.semanticServices.getTypeChecker().isSubtypeOf(subjectParameterType.getType(), proj.getType())) {
+                                context.trace.report(INCOMPATIBLE_TYPES.on(reportErrorOn, type, subjectType));
+                                continue;
+                            }
+                        }
+                    }
+                }
+                
+                if (BasicExpressionTypingVisitor.isCastErased(subjectType, type)) {
+                    context.trace.report(Errors.CANNOT_CHECK_FOR_ERASED.on(reportErrorOn, type));
                 }
             }
 
diff --git a/compiler/frontend/src/org/jetbrains/jet/resolve/DescriptorRenderer.java b/compiler/frontend/src/org/jetbrains/jet/resolve/DescriptorRenderer.java
index b744988a594..8b2ccbd024a 100644
--- a/compiler/frontend/src/org/jetbrains/jet/resolve/DescriptorRenderer.java
+++ b/compiler/frontend/src/org/jetbrains/jet/resolve/DescriptorRenderer.java
@@ -73,7 +73,11 @@ public class DescriptorRenderer implements Renderer {
     }
 
     public String renderType(JetType type) {
-        return escape(type.toString());
+        if (type == null) {
+            return escape("<?>");
+        } else {
+            return escape(type.toString());
+        }
     }
 
     protected String escape(String s) {
@@ -222,7 +226,7 @@ public class DescriptorRenderer implements Renderer {
 
             renderName(descriptor, builder);
             renderValueParameters(descriptor, builder);
-            builder.append(" : ").append(escape(renderType(descriptor.getReturnType())));
+            builder.append(" : ").append(escape(renderType(descriptor.getReturnTypeSafe())));
             return super.visitFunctionDescriptor(descriptor, builder);
         }
 
diff --git a/compiler/testData/checkerWithErrorTypes/full/Casts.jet b/compiler/testData/checkerWithErrorTypes/full/Casts.jet
index 163619fd4d0..e34a90b945a 100644
--- a/compiler/testData/checkerWithErrorTypes/full/Casts.jet
+++ b/compiler/testData/checkerWithErrorTypes/full/Casts.jet
@@ -1,3 +1,5 @@
+// -JDK
+
 fun test() : Unit {
   var x : Int? = 0
   var y : Int = 0
@@ -13,4 +15,4 @@ fun test() : Unit {
   x <!USELESS_CAST!>as?<!> Int? : Int?
   y <!USELESS_CAST_STATIC_ASSERT_IS_FINE!>as?<!> Int? : Int?
   ()
-}
\ No newline at end of file
+}
diff --git a/compiler/testData/checkerWithErrorTypes/full/RecursiveTypeInference.jet b/compiler/testData/checkerWithErrorTypes/full/RecursiveTypeInference.jet
index 11eb880a193..0a6a5b1e2e7 100644
--- a/compiler/testData/checkerWithErrorTypes/full/RecursiveTypeInference.jet
+++ b/compiler/testData/checkerWithErrorTypes/full/RecursiveTypeInference.jet
@@ -5,15 +5,15 @@ namespace a {
 }
 
 namespace b {
-    fun foo() = <!TYPECHECKER_HAS_RUN_INTO_RECURSIVE_PROBLEM!>bar()<!>
+    fun foo() = bar()
 
-    fun bar() = foo()
+    fun bar() = <!TYPECHECKER_HAS_RUN_INTO_RECURSIVE_PROBLEM!>foo()<!>
 }
 
 namespace c {
-    fun bazz() = <!TYPECHECKER_HAS_RUN_INTO_RECURSIVE_PROBLEM!>bar()<!>
+    fun bazz() = bar()
 
-    fun foo() = bazz()
+    fun foo() = <!TYPECHECKER_HAS_RUN_INTO_RECURSIVE_PROBLEM!>bazz()<!>
 
     fun bar() = foo()
 }
@@ -39,4 +39,4 @@ namespace ok {
 
         fun bar() = foo()
     }
-}
\ No newline at end of file
+}
diff --git a/compiler/testData/checkerWithErrorTypes/full/cast/AsErasedError.jet b/compiler/testData/checkerWithErrorTypes/full/cast/AsErasedError.jet
new file mode 100644
index 00000000000..bff067d20ee
--- /dev/null
+++ b/compiler/testData/checkerWithErrorTypes/full/cast/AsErasedError.jet
@@ -0,0 +1,4 @@
+import java.util.List;
+import java.util.Collection;
+
+fun ff(c: Collection<String>) = c <!CAST_NEVER_SUCCEEDS!>as<!> List<Int>
diff --git a/compiler/testData/checkerWithErrorTypes/full/cast/AsErasedFine.jet b/compiler/testData/checkerWithErrorTypes/full/cast/AsErasedFine.jet
new file mode 100644
index 00000000000..341f370d108
--- /dev/null
+++ b/compiler/testData/checkerWithErrorTypes/full/cast/AsErasedFine.jet
@@ -0,0 +1,4 @@
+import java.util.List;
+import java.util.Collection;
+
+fun ff(c: Collection<String>) = c as List<String>
diff --git a/compiler/testData/checkerWithErrorTypes/full/cast/AsErasedStar.jet b/compiler/testData/checkerWithErrorTypes/full/cast/AsErasedStar.jet
new file mode 100644
index 00000000000..b9c2faf0d9a
--- /dev/null
+++ b/compiler/testData/checkerWithErrorTypes/full/cast/AsErasedStar.jet
@@ -0,0 +1,4 @@
+import java.util.List;
+
+fun ff(l: Any) = l as List<*>
+
diff --git a/compiler/testData/checkerWithErrorTypes/full/cast/AsErasedWarning.jet b/compiler/testData/checkerWithErrorTypes/full/cast/AsErasedWarning.jet
new file mode 100644
index 00000000000..a55f6b7d58b
--- /dev/null
+++ b/compiler/testData/checkerWithErrorTypes/full/cast/AsErasedWarning.jet
@@ -0,0 +1,3 @@
+import java.util.List;
+
+fun ff(a: Any) = <!UNCHECKED_CAST!>a as List<String><!>
diff --git a/compiler/testData/checkerWithErrorTypes/full/cast/IsErasedAllow.jet b/compiler/testData/checkerWithErrorTypes/full/cast/IsErasedAllow.jet
new file mode 100644
index 00000000000..7f32b79eba2
--- /dev/null
+++ b/compiler/testData/checkerWithErrorTypes/full/cast/IsErasedAllow.jet
@@ -0,0 +1,5 @@
+import java.util.Collection;
+import java.util.List;
+
+fun ff(l: Collection<String>) = l is List<String>
+
diff --git a/compiler/testData/checkerWithErrorTypes/full/cast/IsErasedAllowParameterSubtype.jet b/compiler/testData/checkerWithErrorTypes/full/cast/IsErasedAllowParameterSubtype.jet
new file mode 100644
index 00000000000..d1694229dc6
--- /dev/null
+++ b/compiler/testData/checkerWithErrorTypes/full/cast/IsErasedAllowParameterSubtype.jet
@@ -0,0 +1,9 @@
+import java.util.Collection;
+import java.util.List;
+
+open class A
+
+class B : A
+
+fun ff(l: Collection<B>) = l is List<out A>
+
diff --git a/compiler/testData/checkerWithErrorTypes/full/cast/IsErasedDisallowFromAny.jet b/compiler/testData/checkerWithErrorTypes/full/cast/IsErasedDisallowFromAny.jet
new file mode 100644
index 00000000000..eb3b402ccc7
--- /dev/null
+++ b/compiler/testData/checkerWithErrorTypes/full/cast/IsErasedDisallowFromAny.jet
@@ -0,0 +1,3 @@
+import java.util.List;
+
+fun ff(l: Any) = l is <!CANNOT_CHECK_FOR_ERASED!>List<String><!>
diff --git a/compiler/testData/checkerWithErrorTypes/full/cast/IsErasedDisallowFromParameter.jet b/compiler/testData/checkerWithErrorTypes/full/cast/IsErasedDisallowFromParameter.jet
new file mode 100644
index 00000000000..a70b5932999
--- /dev/null
+++ b/compiler/testData/checkerWithErrorTypes/full/cast/IsErasedDisallowFromParameter.jet
@@ -0,0 +1,5 @@
+import java.util.List;
+import java.util.Collection;
+
+fun ff(l: Collection<Int>) = l is <!INCOMPATIBLE_TYPES!>List<String><!>
+
diff --git a/compiler/testData/checkerWithErrorTypes/full/cast/IsErasedStar.jet b/compiler/testData/checkerWithErrorTypes/full/cast/IsErasedStar.jet
new file mode 100644
index 00000000000..404d8f8f3b0
--- /dev/null
+++ b/compiler/testData/checkerWithErrorTypes/full/cast/IsErasedStar.jet
@@ -0,0 +1,3 @@
+import java.util.List;
+
+fun ff(l: Any) = l is List<*>
diff --git a/compiler/testData/checkerWithErrorTypes/full/cast/IsReified.jet b/compiler/testData/checkerWithErrorTypes/full/cast/IsReified.jet
new file mode 100644
index 00000000000..247196d6e84
--- /dev/null
+++ b/compiler/testData/checkerWithErrorTypes/full/cast/IsReified.jet
@@ -0,0 +1,3 @@
+class MyList<T>
+
+fun ff(a: Any) = a is MyList<String>
diff --git a/compiler/testData/checkerWithErrorTypes/full/cast/IsReifiedDisallow.jet b/compiler/testData/checkerWithErrorTypes/full/cast/IsReifiedDisallow.jet
new file mode 100644
index 00000000000..9abceb5f1e6
--- /dev/null
+++ b/compiler/testData/checkerWithErrorTypes/full/cast/IsReifiedDisallow.jet
@@ -0,0 +1,3 @@
+class MyList<A>
+
+fun ff(l: MyList<String>) = l is <!INCOMPATIBLE_TYPES!>MyList<Int><!>
diff --git a/compiler/testData/checkerWithErrorTypes/full/cast/IsTraits.jet b/compiler/testData/checkerWithErrorTypes/full/cast/IsTraits.jet
new file mode 100644
index 00000000000..99656c2ab24
--- /dev/null
+++ b/compiler/testData/checkerWithErrorTypes/full/cast/IsTraits.jet
@@ -0,0 +1,4 @@
+trait Aaa
+trait Bbb
+
+fun f(a: Aaa) = a is Bbb
diff --git a/compiler/testData/checkerWithErrorTypes/full/cast/WhenErasedDisallowFromAny.jet b/compiler/testData/checkerWithErrorTypes/full/cast/WhenErasedDisallowFromAny.jet
new file mode 100644
index 00000000000..f38a4b14fbe
--- /dev/null
+++ b/compiler/testData/checkerWithErrorTypes/full/cast/WhenErasedDisallowFromAny.jet
@@ -0,0 +1,6 @@
+import java.util.List;
+
+fun ff(l: Any) = when(l) {
+    is <!CANNOT_CHECK_FOR_ERASED!>List<String><!> => 1
+    else 2
+}
diff --git a/compiler/testData/checkerWithErrorTypes/quick/regressions/kt328.jet b/compiler/testData/checkerWithErrorTypes/quick/regressions/kt328.jet
new file mode 100644
index 00000000000..2593c440b51
--- /dev/null
+++ b/compiler/testData/checkerWithErrorTypes/quick/regressions/kt328.jet
@@ -0,0 +1,3 @@
+fun bar() = {
+    <!TYPECHECKER_HAS_RUN_INTO_RECURSIVE_PROBLEM!>bar()<!>
+}
diff --git a/compiler/testData/checkerWithErrorTypes/quick/regressions/kt328Complex.jet b/compiler/testData/checkerWithErrorTypes/quick/regressions/kt328Complex.jet
new file mode 100644
index 00000000000..9caa6193206
--- /dev/null
+++ b/compiler/testData/checkerWithErrorTypes/quick/regressions/kt328Complex.jet
@@ -0,0 +1,3 @@
+fun bar() = {
+    fun foo() = <!TYPECHECKER_HAS_RUN_INTO_RECURSIVE_PROBLEM!>bar()<!>
+}
diff --git a/compiler/testData/checkerWithErrorTypes/quick/regressions/kt328DuplicatedByKt329.jet b/compiler/testData/checkerWithErrorTypes/quick/regressions/kt328DuplicatedByKt329.jet
new file mode 100644
index 00000000000..35a66da2884
--- /dev/null
+++ b/compiler/testData/checkerWithErrorTypes/quick/regressions/kt328DuplicatedByKt329.jet
@@ -0,0 +1,7 @@
+// http://youtrack.jetbrains.net/issue/KT-329
+
+fun block(f : fun() : Unit) = f()
+
+fun bar() = block{ <!UNRESOLVED_REFERENCE!>foo<!>() // <-- missing closing curly bracket
+fun foo() = block{ <!TYPECHECKER_HAS_RUN_INTO_RECURSIVE_PROBLEM!>bar()<!> }
+
diff --git a/compiler/testData/codegen/patternMatching/is.jet b/compiler/testData/codegen/patternMatching/is.jet
index a5b5f33195f..9fac50c586b 100644
--- a/compiler/testData/codegen/patternMatching/is.jet
+++ b/compiler/testData/codegen/patternMatching/is.jet
@@ -1,6 +1,6 @@
 fun typeName(a: Any?) : String {
     return when(a) {
-        is java.util.ArrayList<Int> => "array list"
+        is java.util.ArrayList<*> => "array list"
         else => "no idea"
     }
 }
@@ -8,4 +8,4 @@ fun typeName(a: Any?) : String {
 fun box() : String {
     if(typeName(java.util.ArrayList<Int> ()) != "array list") return "array list failed"
     return "OK"
-}
\ No newline at end of file
+}
diff --git a/compiler/tests/org/jetbrains/jet/checkers/CheckerTestUtilTest.java b/compiler/tests/org/jetbrains/jet/checkers/CheckerTestUtilTest.java
index 06ffed74d04..8663cc4d9fc 100644
--- a/compiler/tests/org/jetbrains/jet/checkers/CheckerTestUtilTest.java
+++ b/compiler/tests/org/jetbrains/jet/checkers/CheckerTestUtilTest.java
@@ -81,7 +81,7 @@ public class CheckerTestUtilTest extends JetLiteFixture {
         }
 
         public void test(PsiFile psiFile) {
-            BindingContext bindingContext = AnalyzerFacade.analyzeFileWithCache(AnalyzingUtils.getInstance(ImportingStrategy.NONE), (JetFile) psiFile, AnalyzerFacade.SINGLE_DECLARATION_PROVIDER);
+            BindingContext bindingContext = AnalyzerFacade.analyzeFileWithCache(AnalyzingUtils.getInstance(ImportingStrategy.NONE, true), (JetFile) psiFile, AnalyzerFacade.SINGLE_DECLARATION_PROVIDER);
             String expectedText = CheckerTestUtil.addDiagnosticMarkersToText(psiFile, bindingContext).toString();
 
             List<CheckerTestUtil.DiagnosedRange> diagnosedRanges = Lists.newArrayList();
diff --git a/compiler/tests/org/jetbrains/jet/checkers/FullJetPsiCheckerTest.java b/compiler/tests/org/jetbrains/jet/checkers/FullJetPsiCheckerTest.java
index 986f6501d10..5b4646d207e 100644
--- a/compiler/tests/org/jetbrains/jet/checkers/FullJetPsiCheckerTest.java
+++ b/compiler/tests/org/jetbrains/jet/checkers/FullJetPsiCheckerTest.java
@@ -8,8 +8,11 @@ import org.jetbrains.annotations.NotNull;
 import org.jetbrains.jet.JetLiteFixture;
 import org.jetbrains.jet.JetTestCaseBuilder;
 import org.jetbrains.jet.lang.diagnostics.DiagnosticUtils;
+import org.jetbrains.jet.lang.resolve.AnalyzingUtils;
 import org.jetbrains.jet.lang.resolve.BindingContext;
+import org.jetbrains.jet.lang.resolve.ImportingStrategy;
 import org.jetbrains.jet.lang.resolve.java.AnalyzerFacade;
+import org.jetbrains.jet.lang.resolve.java.JavaDefaultImports;
 
 import java.util.List;
 
@@ -42,7 +45,13 @@ public class FullJetPsiCheckerTest extends JetLiteFixture {
         String clearText = CheckerTestUtil.parseDiagnosedRanges(expectedText, diagnosedRanges);
 
         myFile = createPsiFile(myName, clearText);
-        BindingContext bindingContext = AnalyzerFacade.analyzeFileWithCache(myFile, AnalyzerFacade.SINGLE_DECLARATION_PROVIDER);
+
+        boolean loadStdlib = !expectedText.contains("-STDLIB");
+        boolean importJdk = !expectedText.contains("-JDK");
+
+        ImportingStrategy importingStrategy = importJdk ? JavaDefaultImports.JAVA_DEFAULT_IMPORTS : ImportingStrategy.NONE;
+
+        BindingContext bindingContext = AnalyzerFacade.analyzeFileWithCache(AnalyzingUtils.getInstance(importingStrategy, loadStdlib), myFile, AnalyzerFacade.SINGLE_DECLARATION_PROVIDER);
 
         CheckerTestUtil.diagnosticsDiff(diagnosedRanges, bindingContext.getDiagnostics(), new CheckerTestUtil.DiagnosticDiffCallbacks() {
             @Override
diff --git a/compiler/tests/org/jetbrains/jet/checkers/QuickJetPsiCheckerTest.java b/compiler/tests/org/jetbrains/jet/checkers/QuickJetPsiCheckerTest.java
index d6ead64cdf1..a69f04a21c7 100644
--- a/compiler/tests/org/jetbrains/jet/checkers/QuickJetPsiCheckerTest.java
+++ b/compiler/tests/org/jetbrains/jet/checkers/QuickJetPsiCheckerTest.java
@@ -13,6 +13,7 @@ import org.jetbrains.jet.lang.resolve.AnalyzingUtils;
 import org.jetbrains.jet.lang.resolve.BindingContext;
 import org.jetbrains.jet.lang.resolve.ImportingStrategy;
 import org.jetbrains.jet.lang.resolve.java.AnalyzerFacade;
+import org.jetbrains.jet.lang.resolve.java.JavaDefaultImports;
 
 import java.util.List;
 
@@ -40,7 +41,12 @@ public class QuickJetPsiCheckerTest extends JetLiteFixture {
 
         createAndCheckPsiFile(name, clearText);
         JetFile jetFile = (JetFile) myFile;
-        BindingContext bindingContext = AnalyzerFacade.analyzeFileWithCache(AnalyzingUtils.getInstance(ImportingStrategy.NONE), jetFile, AnalyzerFacade.SINGLE_DECLARATION_PROVIDER);
+        boolean loadStdlib = !expectedText.contains("-STDLIB");
+        boolean importJdk = expectedText.contains("+JDK");
+        
+        ImportingStrategy importingStrategy = importJdk ? JavaDefaultImports.JAVA_DEFAULT_IMPORTS : ImportingStrategy.NONE;
+        
+        BindingContext bindingContext = AnalyzerFacade.analyzeFileWithCache(AnalyzingUtils.getInstance(importingStrategy, loadStdlib), jetFile, AnalyzerFacade.SINGLE_DECLARATION_PROVIDER);
 
         CheckerTestUtil.diagnosticsDiff(diagnosedRanges, bindingContext.getDiagnostics(), new CheckerTestUtil.DiagnosticDiffCallbacks() {
             @Override
diff --git a/compiler/tests/org/jetbrains/jet/resolve/JetResolveTest.java b/compiler/tests/org/jetbrains/jet/resolve/JetResolveTest.java
index ca206ae88c0..f4bf68958a1 100644
--- a/compiler/tests/org/jetbrains/jet/resolve/JetResolveTest.java
+++ b/compiler/tests/org/jetbrains/jet/resolve/JetResolveTest.java
@@ -44,7 +44,7 @@ public class JetResolveTest extends ExtensibleResolveTestCase {
     @Override
     protected ExpectedResolveData getExpectedResolveData() {
         Project project = getProject();
-        JetStandardLibrary lib = JetStandardLibrary.getJetStandardLibrary(project);
+        JetStandardLibrary lib = JetStandardLibrary.getJetStandardLibrary(project, true);
         Map<String, DeclarationDescriptor> nameToDescriptor = new HashMap<String, DeclarationDescriptor>();
         nameToDescriptor.put("std::Int.plus(Int)", standardFunction(lib.getInt(), "plus", lib.getIntType()));
         FunctionDescriptor descriptorForGet = standardFunction(lib.getArray(), Collections.singletonList(new TypeProjection(lib.getIntType())), "get", lib.getIntType());
diff --git a/idea/src/org/jetbrains/jet/plugin/compiler/JetCompiler.java b/idea/src/org/jetbrains/jet/plugin/compiler/JetCompiler.java
index 0a16cb56f58..0a34294d80f 100644
--- a/idea/src/org/jetbrains/jet/plugin/compiler/JetCompiler.java
+++ b/idea/src/org/jetbrains/jet/plugin/compiler/JetCompiler.java
@@ -80,7 +80,7 @@ public class JetCompiler implements TranslatingCompiler {
                     }
                 }
 
-                BindingContext bindingContext = AnalyzingUtils.getInstance(JavaDefaultImports.JAVA_DEFAULT_IMPORTS).analyzeNamespaces(
+                BindingContext bindingContext = AnalyzingUtils.getInstance(JavaDefaultImports.JAVA_DEFAULT_IMPORTS, true).analyzeNamespaces(
                         compileContext.getProject(), namespaces,
                         Predicates.<PsiFile>alwaysTrue(),
                         JetControlFlowDataTraceFactory.EMPTY);
diff --git a/idea/src/org/jetbrains/jet/plugin/java/JavaElementFinder.java b/idea/src/org/jetbrains/jet/plugin/java/JavaElementFinder.java
index 7cfa0fe1b86..1967f70b22e 100644
--- a/idea/src/org/jetbrains/jet/plugin/java/JavaElementFinder.java
+++ b/idea/src/org/jetbrains/jet/plugin/java/JavaElementFinder.java
@@ -211,7 +211,7 @@ public class JavaElementFinder extends PsiElementFinder {
                 
 
         if (dirty.size() > 0) {
-            final BindingContext context = AnalyzingUtils.getInstance(JavaDefaultImports.JAVA_DEFAULT_IMPORTS).shallowAnalyzeFiles(dirty);
+            final BindingContext context = AnalyzingUtils.getInstance(JavaDefaultImports.JAVA_DEFAULT_IMPORTS, true).shallowAnalyzeFiles(dirty);
             state.compileCorrectNamespaces(context, AnalyzingUtils.collectRootNamespaces(dirty));
             state.getFactory().files();
         }
diff --git a/idea/testData/checker/RecursiveTypeInference.jet b/idea/testData/checker/RecursiveTypeInference.jet
index a73cf01cc0e..c8e0006f350 100644
--- a/idea/testData/checker/RecursiveTypeInference.jet
+++ b/idea/testData/checker/RecursiveTypeInference.jet
@@ -1,19 +1,19 @@
 namespace a {
-    val foo = <error>bar()</error>
+    val foo = <error descr="[TYPECHECKER_HAS_RUN_INTO_RECURSIVE_PROBLEM] Type checking has run into a recursive problem">bar()</error>
 
     fun bar() = foo
 }
 
 namespace b {
-    fun foo() = <error>bar()</error>
+    fun foo() = bar()
 
-    fun bar() = foo()
+    fun bar() = <error descr="[TYPECHECKER_HAS_RUN_INTO_RECURSIVE_PROBLEM] Type checking has run into a recursive problem">foo()</error>
 }
 
 namespace c {
-    fun bazz() = <error>bar()</error>
+    fun bazz() = bar()
 
-    fun foo() = bazz()
+    fun foo() = <error descr="[TYPECHECKER_HAS_RUN_INTO_RECURSIVE_PROBLEM] Type checking has run into a recursive problem">bazz()</error>
 
     fun bar() = foo()
 }
@@ -39,4 +39,4 @@ namespace ok {
 
         fun bar() = foo()
     }
-}
\ No newline at end of file
+}