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The big banks are now openly seeking out deals to back once again. And in response, some savvy private equity firms have sought to accelerate what they do best -- acquiring firms and then reselling those companies at a premium.

Following retrenchment in activity in 2009, this year buyout firms have been seeking to put their billions of dollars in untapped investor capital to use by taking on additional risk.

For instance on Friday, the Blackstone Group (NYSE:BX), one of the largest private equity holding companies, agreed to buy Dynegy, the Houston power company. The price tag -- $4.7B -- the largest of the year.

According to Thomson Reuters that brings the total for leveraged buyouts to just over $42B in calendar year 2010.

Friday's transaction continues to remind us that big money is betting on a world economy that grows steadily well into next year.

Source: Leveraged Buyouts Reach $42B Year to Date