I don't think anything is fixed. The current handling of the issue just bought some time. The main problem of too small blocksize remains and will have to be resolved. Now we know it's not possible to even lift the soft limit of 256KB without a hard fork. But this limit would need lifting right now, because transactions are starting to get stuck. So the real hard fork is just about to come up in the next few days. (Either because the old clients need a change to handle the larger blocks, or everyone will be forced to use 0.8+. Well okay, there's the third possibility of a really congested bitcoin-network.)
To quote Mike Hearn:
Rolling back to the smaller blocks simply puts us out of the frying pan and back into the fire.