diff --git a/module/Makefile.am b/module/Makefile.am
index 51397ba3e..5f4baaeba 100644
--- a/module/Makefile.am
+++ b/module/Makefile.am
@@ -141,6 +141,7 @@ CPS_LANG_SOURCES =						\
   language/cps/self-references.scm				\
   language/cps/slot-allocation.scm				\
   language/cps/simplify.scm					\
+  language/cps/simplify2.scm					\
   language/cps/spec.scm						\
   language/cps/specialize-primcalls.scm				\
   language/cps/type-fold.scm					\
diff --git a/module/language/cps/simplify2.scm b/module/language/cps/simplify2.scm
new file mode 100644
index 000000000..d819a7a8b
--- /dev/null
+++ b/module/language/cps/simplify2.scm
@@ -0,0 +1,747 @@
+;;; Continuation-passing style (CPS) intermediate language (IL)
+
+;; Copyright (C) 2013, 2014, 2015 Free Software Foundation, Inc.
+
+;;;; This library is free software; you can redistribute it and/or
+;;;; modify it under the terms of the GNU Lesser General Public
+;;;; License as published by the Free Software Foundation; either
+;;;; version 3 of the License, or (at your option) any later version.
+;;;;
+;;;; This library is distributed in the hope that it will be useful,
+;;;; but WITHOUT ANY WARRANTY; without even the implied warranty of
+;;;; MERCHANTABILITY or FITNESS FOR A PARTICULAR PURPOSE.  See the GNU
+;;;; Lesser General Public License for more details.
+;;;;
+;;;; You should have received a copy of the GNU Lesser General Public
+;;;; License along with this library; if not, write to the Free Software
+;;;; Foundation, Inc., 51 Franklin Street, Fifth Floor, Boston, MA 02110-1301 USA
+
+;;; Commentary:
+;;;
+;;; The fundamental lambda calculus reductions, like beta and eta
+;;; reduction and so on.  Pretty lame currently.
+;;;
+;;; Code:
+
+(define-module (language cps simplify2)
+  #:use-module (ice-9 match)
+  #:use-module (srfi srfi-1)
+  #:use-module (srfi srfi-11)
+  #:use-module (srfi srfi-26)
+  #:use-module (language cps)
+  #:use-module (language cps intset)
+  #:use-module (language cps intmap)
+  #:export (simplify2))
+
+;; advantages of cps2: little recursion so evaluator doesn't consume too
+;; much stack at boot time, rewriting can share more state for conts
+;; that don't need rewrites, transformations can use dominators instead
+;; of scoping approximation, redomination isn't a thing that needs to
+;; happen, more functional techniques... easy detection of when no
+;; transformation is necessary, transform-conts...
+
+(define-syntax build-term
+  (syntax-rules (unquote $rec $continue)
+    ((_ (unquote exp))
+     exp)
+    ((_ ($continue k src exp))
+     (build-cps-term ($continue k src exp)))))
+
+(define-syntax-rule (build-cont-body cont)
+  (match (build-cps-cont (#f cont))
+    (($ $cont k x) x)))
+
+(define-syntax build-cont
+  (syntax-rules (unquote $kreceive $kargs $kfun $ktail $kclause)
+    ((_ (unquote exp))
+     exp)
+    ((_ ($kreceive req rest kargs))
+     (build-cont-body ($kreceive req rest kargs)))
+    ((_ ($kargs (name ...) (unquote syms) body))
+     (build-cont-body ($kargs (name ...) (unquote syms)
+                        ,(build-term body))))
+    ((_ ($kargs (name ...) (sym ...) body))
+     (build-cont-body ($kargs (name ...) (sym ...) ,(build-term body))))
+    ((_ ($kargs names syms body))
+     (build-cont-body ($kargs names syms ,(build-term body))))
+    ((_ ($kfun src meta self ktail kclause))
+     (build-cont-body ($kfun src meta self ,ktail ,kclause)))
+    ((_ ($ktail))
+     (build-cont-body ($ktail)))
+    ((_ ($kclause arity cont alternate))
+     (build-cont-body ($kclause arity ,cont ,alternate)))))
+
+(define-syntax-rule (rewrite-term x (pat term) ...)
+  (match x
+    (pat (build-term term))
+    ...))
+
+(define-syntax-rule (rewrite-cont x (pat cont) ...)
+  (match x
+    (pat (build-cont cont))
+    ...))
+
+(define (fun->conts fun)
+  (define conts empty-intmap)
+  (define (visit-cont-body cont)
+    (rewrite-cont cont
+      (($ $kargs names syms body)
+       ($kargs names syms ,(visit-term body)))
+      (($ $kfun src meta self tail clause)
+       ($kfun src meta self (visit-cont tail)
+         (and clause (visit-cont clause))))
+      (($ $kclause arity body alternate)
+       ($kclause ,arity (visit-cont body)
+                 (and alternate (visit-cont alternate))))
+      (($ $kreceive)
+       ,cont)
+      (($ $ktail)
+       ,cont)))
+  (define (visit-cont cont)
+    (match cont
+      (($ $cont label cont)
+       (let ((cont (visit-cont-body cont)))
+         (set! conts (intmap-add! conts label cont)))
+       label)))
+  (define (visit-term term)
+    (match term
+      (($ $letk conts body)
+       (for-each visit-cont conts)
+       (visit-term body))
+      (($ $continue k src (and ($ $fun) fun))
+       (build-term ($continue k src ,(visit-fun fun))))
+      (($ $continue k src ($ $rec names syms funs))
+       (build-term ($continue k src ($rec names syms (map visit-fun funs)))))
+      (($ $continue k src exp)
+       term)))
+  (define (visit-fun fun)
+    (rewrite-cps-exp fun
+      (($ $fun body)
+       ($fun ,(visit-cont body)))))
+  (let ((kfun (visit-cont fun)))
+    (values (persistent-intmap conts) kfun)))
+
+(define (compute-function-body conts kfun)
+  (persistent-intset
+   (let visit-cont ((label kfun) (labels empty-intset))
+     (cond
+      ((intset-ref labels label) labels)
+      (else
+       (let ((labels (intset-add! labels label)))
+         (match (intmap-ref conts label)
+           (($ $kreceive arity k) (visit-cont k labels))
+           (($ $kfun src meta self ktail kclause)
+            (let ((labels (visit-cont ktail labels)))
+              (if kclause
+                  (visit-cont kclause labels)
+                  labels)))
+           (($ $ktail) labels)
+           (($ $kclause arity kbody kalt)
+            (if kalt
+                (visit-cont kalt (visit-cont kbody labels))
+                (visit-cont kbody labels)))
+           (($ $kargs names syms ($ $continue k src exp))
+            (visit-cont k (match exp
+                            (($ $branch k)
+                             (visit-cont k labels))
+                            (($ $callk k)
+                             (visit-cont k labels))
+                            (($ $prompt escape? tag k)
+                             (visit-cont k labels))
+                            (_ labels)))))))))))
+
+(define-inlinable (fold1 f l s0)
+  (let lp ((l l) (s0 s0))
+    (match l
+      (() s0)
+      ((elt . l) (lp l (f elt s0))))))
+
+(define-inlinable (fold2 f l s0 s1)
+  (let lp ((l l) (s0 s0) (s1 s1))
+    (match l
+      (() (values s0 s1))
+      ((elt . l)
+       (call-with-values (lambda () (f elt s0 s1))
+         (lambda (s0 s1)
+           (lp l s0 s1)))))))
+
+#;
+(define (intset-fold f set seed)
+  (let lp ((i 0) (seed seed))
+    (match (intset-next set i)
+      (#f seed)
+      (i (lp (1+ i) (f i seed))))))
+
+#;
+(define (intset-fold2 f set s0 s1)
+  (let lp ((i 0) (s0 s0) (s1 s1))
+    (match (intset-next set i)
+      (#f (values s0 s1))
+      (i (call-with-values (lambda () (f i s0 s1))
+           (lambda (s0 s1)
+             (lp (1+ i) s0 s1)))))))
+
+(define (intset->intmap f set)
+  (persistent-intmap
+   (intset-fold (lambda (label preds)
+                  (intmap-add! preds label (f label)))
+                set empty-intmap)))
+
+#;
+(define (intmap-fold f map seed)
+  (let lp ((i 0) (seed seed))
+    (match (intmap-next map i)
+      (#f seed)
+      (i (lp (1+ i) (f i (intmap-ref map i) seed))))))
+
+(define* (compute-predecessors conts kfun #:key
+                               (labels (compute-function-body conts kfun)))
+  (define (meet cdr car)
+    (cons car cdr))
+  (define (add-preds label preds)
+    (define (add-pred k preds)
+      (intmap-add! preds k label meet))
+    (match (intmap-ref conts label)
+      (($ $kreceive arity k)
+       (add-pred k preds))
+      (($ $kfun src meta self ktail kclause)
+       (add-pred ktail (if kclause (add-pred kclause preds) preds)))
+      (($ $ktail)
+       preds)
+      (($ $kclause arity kbody kalt)
+       (add-pred kbody (if kalt (add-pred kalt preds) preds)))
+      (($ $kargs names syms ($ $continue k src exp))
+       (add-pred k
+                 (match exp
+                   (($ $branch k) (add-pred k preds))
+                   (($ $prompt _ _ k) (add-pred k preds))
+                   (_ preds))))))
+  (persistent-intmap
+   (intset-fold add-preds labels
+                (intset->intmap (lambda (label) '()) labels))))
+
+(define (worklist-fold f in out)
+  (if (eq? in empty-intset)
+      out
+      (call-with-values (lambda () (f in out))
+        (lambda (in out)
+          (worklist-fold f in out)))))
+
+(define (worklist-fold2 f in out0 out1)
+  (if (eq? in empty-intset)
+      (values out0 out1)
+      (call-with-values (lambda () (f in out0 out1))
+        (lambda (in out0 out1)
+          (worklist-fold2 f in out0 out1)))))
+
+(define* (compute-tail-path-lengths conts kfun preds)
+  (define (add-lengths labels lengths length)
+    (intset-fold (lambda (label lengths)
+                   (intmap-add! lengths label length))
+                 labels
+                 lengths))
+  (define (compute-next labels lengths)
+    (intset-fold (lambda (label labels)
+                   (fold1 (lambda (pred labels)
+                            (if (intmap-ref lengths pred)
+                                labels
+                                (intset-add! labels pred)))
+                          (intmap-ref preds label)
+                          labels))
+                 labels
+                 empty-intset))
+  (define (visit labels lengths length)
+    (let ((lengths (add-lengths labels lengths length)))
+      (values (compute-next labels lengths) lengths (1+ length))))
+  (match (intmap-ref conts kfun)
+    (($ $kfun src meta self tail clause)
+     (worklist-fold2 visit (intset-add empty-intset tail) empty-intmap 0))))
+
+
+;; Topologically sort the continuation tree starting at k0, using
+;; reverse post-order numbering.
+(define (sort-labels-locally conts k0 path-lengths)
+  (let ((order '())
+        (visited empty-intset))
+    (define (visit k)
+      (define (maybe-visit k)
+        (unless (intset-ref visited k)
+          (visit k)))
+      (define (visit-successors k)
+        (match (intmap-ref conts k)
+          (($ $kargs names syms ($ $continue k src exp))
+           (match exp
+             (($ $prompt escape? tag handler)
+              (maybe-visit handler)
+              (maybe-visit k))
+             (($ $branch kt)
+              ;; Visit the successor with the shortest path length
+              ;; to the tail first, so that if the branches are
+              ;; unsorted, the longer path length will appear
+              ;; first.  This will move a loop exit out of a loop.
+              (let ((k-len (intmap-ref path-lengths k))
+                    (kt-len (intmap-ref path-lengths kt)))
+                (cond
+                 ((if kt-len
+                      (or (not k-len)
+                          (< k-len kt-len)
+                          ;; If the path lengths are the
+                          ;; same, preserve original order
+                          ;; to avoid squirreliness.
+                          (and (= k-len kt-len) (< kt k)))
+                      (if k-len #f (< kt k)))
+                  (maybe-visit k)
+                  (maybe-visit kt))
+                 (else
+                  (maybe-visit kt)
+                  (maybe-visit k)))))
+             (_
+              (maybe-visit k))))
+          (($ $kreceive arity k) (maybe-visit k))
+          (($ $kclause arity kbody kalt)
+           (when kalt (visit kalt))
+           (maybe-visit kbody))
+          (($ $kfun src meta self tail clause)
+           (visit tail)
+           (when clause (visit clause)))
+          (_ #f)))
+
+      ;; Mark this continuation as visited.
+      (set! visited (intset-add! visited k))
+
+      ;; Visit unvisited successors.
+      (visit-successors k)
+
+      ;; Add k to the reverse post-order.
+      (set! order (cons k order)))
+
+    ;; Recursively visit all continuations reachable from k0.
+    (visit k0)
+
+    ;; Return the sorted order.
+    order))
+
+(define (compute-renaming conts kfun)
+  ;; labels := old -> new
+  ;; vars := old -> new
+  (define *next-label* -1)
+  (define *next-var* -1)
+  (define (rename-label label labels)
+    (set! *next-label* (1+ *next-label*))
+    (intmap-add! labels label *next-label*))
+  (define (rename-var sym vars)
+    (set! *next-var* (1+ *next-var*))
+    (intmap-add! vars sym *next-var*))
+  (define (rename label labels vars)
+    (values (rename-label label labels)
+            (match (intmap-ref conts label)
+              (($ $kargs names syms exp)
+               (fold1 rename-var syms vars))
+              (($ $kfun src meta self tail clause)
+               (rename-var self vars))
+              (_ vars))))
+  (define (visit-nested-funs k labels vars)
+    (match (intmap-ref conts k)
+      (($ $kargs names syms ($ $continue k src ($ $fun kfun)))
+       (visit-fun kfun labels vars))
+      (($ $kargs names syms ($ $continue k src ($ $rec names* syms*
+                                                  (($ $fun kfun) ...))))
+       (fold2 visit-fun kfun labels vars))
+      (_ (values labels vars))))
+  (define (visit-fun kfun labels vars)
+    (let* ((preds (compute-predecessors conts kfun))
+           (path-lengths (compute-tail-path-lengths conts kfun preds))
+           (order (sort-labels-locally conts kfun path-lengths)))
+      ;; First rename locally, then recurse on nested functions.
+      (let-values (((labels vars) (fold2 rename order labels vars)))
+        (fold2 visit-nested-funs order labels vars))))
+  (let-values (((labels vars) (visit-fun kfun empty-intmap empty-intmap)))
+    (values (persistent-intmap labels) (persistent-intmap vars))))
+
+(define (renumber conts kfun)
+  (let-values (((label-map var-map) (compute-renaming conts kfun)))
+    (define (rename-label label)
+      (or (intmap-ref label-map label) (error "what" label)))
+    (define (rename-var var)
+      (or (intmap-ref var-map var) (error "what2" var)))
+    (define (rename-exp exp)
+      (rewrite-cps-exp exp
+        ((or ($ $const) ($ $prim)) ,exp)
+        (($ $closure k nfree)
+         ($closure (rename-label k) nfree))
+        (($ $fun body)
+         ($fun ,(rename-label body)))
+        (($ $rec names vars funs)
+         ($rec names (map rename-var vars) (map rename-exp funs)))
+        (($ $values args)
+         ($values ,(map rename-var args)))
+        (($ $call proc args)
+         ($call (rename-var proc) ,(map rename-var args)))
+        (($ $callk k proc args)
+         ($callk (rename-label k) (rename-var proc) ,(map rename-var args)))
+        (($ $branch kt exp)
+         ($branch (rename-label kt) ,(rename-exp exp)))
+        (($ $primcall name args)
+         ($primcall name ,(map rename-var args)))
+        (($ $prompt escape? tag handler)
+         ($prompt escape? (rename-var tag) (rename-label handler)))))
+    (define (rename-arity arity)
+      (match arity
+        (($ $arity req opt rest () aok?)
+         arity)
+        (($ $arity req opt rest kw aok?)
+         (match kw
+           (() arity)
+           (((kw kw-name kw-var) ...)
+            (let ((kw (map list kw kw-name (map rename-var kw-var))))
+              (make-$arity req opt rest kw aok?)))))))
+    (persistent-intmap
+     (intmap-fold
+      (lambda (old-k new-k out)
+        (intmap-add!
+         out
+         new-k
+         (rewrite-cont (intmap-ref conts old-k)
+                       (($ $kargs names syms ($ $continue k src exp))
+                        ($kargs names (map rename-var syms)
+                          ($continue (rename-label k) src ,(rename-exp exp))))
+                       (($ $kreceive ($ $arity req () rest () #f) k)
+                        ($kreceive req rest (rename-label k)))
+                       (($ $ktail)
+                        ($ktail))
+                       (($ $kfun src meta self tail clause)
+                        ($kfun src meta (rename-var self) (rename-label tail)
+                          (and clause (rename-label clause))))
+                       (($ $kclause arity body alternate)
+                        ($kclause ,(rename-arity arity) (rename-label body)
+                                  (and alternate (rename-label alternate)))))))
+      label-map
+      empty-intmap))))
+
+(define (fixpoint f x)
+  (let ((x* (f x)))
+    (if (eq? x x*) x* (f x*))))
+
+;; Precondition: For each function in CONTS, the continuation names are
+;; topologically sorted.
+(define* (compute-idoms* conts kfun)
+  ;; This is the iterative O(n^2) fixpoint algorithm, originally from
+  ;; Allen and Cocke ("Graph-theoretic constructs for program flow
+  ;; analysis", 1972).  See the discussion in Cooper, Harvey, and
+  ;; Kennedy's "A Simple, Fast Dominance Algorithm", 2001.
+  (let ((preds-map (compute-predecessors conts kfun)))
+    (define (compute-idom idoms preds)
+      (match preds
+        (() -1)
+        ((pred) pred)                   ; Shortcut.
+        ((pred . preds)
+         (define (common-idom d0 d1)
+           ;; We exploit the fact that a reverse post-order is a
+           ;; topological sort, and so the idom of a node is always
+           ;; numerically less than the node itself.
+           (let lp ((d0 d0) (d1 d1))
+             (cond
+              ;; d0 or d1 can be false on the first iteration.
+              ((not d0) d1)
+              ((not d1) d0)
+              ((= d0 d1) d0)
+              ((< d0 d1) (lp d0 (intmap-ref idoms d1)))
+              (else (lp (intmap-ref idoms d0) d1)))))
+         (fold1 common-idom preds pred))))
+    (define (adjoin-idom label preds idoms)
+      (let ((idom (compute-idom idoms preds)))
+        ;; Don't use intmap-add! here.
+        (intmap-add idoms label idom (lambda (old new) new))))
+    (fixpoint (lambda (idoms)
+                (intmap-fold adjoin-idom preds-map idoms))
+              empty-intmap)))
+
+;; Compute a vector containing, for each node, a list of the nodes that
+;; it immediately dominates.  These are the "D" edges in the DJ tree.
+(define (compute-dom-edges* idoms)
+  (define (snoc cdr car) (cons car cdr))
+  (intmap-fold (lambda (label idom doms)
+                 (let ((doms (intmap-add! doms label '())))
+                   (cond
+                    ((< idom 0) doms) ;; No edge to entry.
+                    (else (intmap-add! doms idom label snoc)))))
+               idoms
+               empty-intmap))
+
+;; Precondition: For each function in CONTS, the continuation names are
+;; topologically sorted.
+(define (conts->fun conts kentry)
+  (define (convert-fun kfun)
+    (let ((doms (compute-dom-edges* (compute-idoms* conts kfun))))
+      (define (visit-cont label)
+        (rewrite-cps-cont (intmap-ref conts label)
+          (($ $kargs names syms body)
+           (label ($kargs names syms ,(redominate label (visit-term body)))))
+          ((and cont (or ($ $ktail) ($ $kreceive)))
+           (label ,cont))))
+      (define (visit-clause label)
+        (and label
+             (rewrite-cps-cont (intmap-ref conts label)
+               (($ $kclause arity body alternate)
+                (label ($kclause ,arity ,(visit-cont body)
+                                 ,(visit-clause alternate)))))))
+      (define (redominate label term)
+        (define (visit-dom-conts label)
+          (match (intmap-ref conts label)
+            (($ $ktail) '())
+            (($ $kargs) (list (visit-cont label)))
+            (else
+             (cons (visit-cont label)
+                   (visit-dom-conts* (intmap-ref doms label))))))
+        (define (visit-dom-conts* labels)
+          (match labels
+            (() '())
+            ((label . labels)
+             (append (visit-dom-conts label)
+                     (visit-dom-conts* labels)))))
+        (rewrite-cps-term (visit-dom-conts* (intmap-ref doms label))
+          (() ,term)
+          (conts ($letk ,conts ,term))))
+      (define (visit-term term)
+        (rewrite-cps-term term
+          (($ $continue k src (and ($ $fun) fun))
+           ($continue k src ,(visit-fun fun)))
+          (($ $continue k src ($ $rec names syms funs))
+           ($continue k src ($rec names syms (map visit-fun funs))))
+          (($ $continue k src exp)
+           ,term)))
+      (define (visit-fun fun)
+        (rewrite-cps-exp fun
+          (($ $fun body)
+           ($fun ,(convert-fun body)))))
+
+      (rewrite-cps-cont (intmap-ref conts kfun)
+        (($ $kfun src meta self tail clause)
+         (kfun ($kfun src meta self (tail ($ktail))
+                 ,(visit-clause clause)))))))
+  (convert-fun kentry))
+
+;;; Continuations that simply forward their values to another may be
+;;; elided via eta reduction over labels.
+;;;
+;;; There is an exception however: we must exclude strongly-connected
+;;; components (SCCs).  The only kind of SCC we can build out of $values
+;;; expressions are infinite loops.
+;;;
+;;; Condition A below excludes single-node SCCs.  Single-node SCCs
+;;; cannot be reduced.
+;;;
+;;; Condition B conservatively excludes edges to labels already marked
+;;; as candidates.  This prevents back-edges and so breaks SCCs, and is
+;;; optimal if labels are sorted.  If the labels aren't sorted it's
+;;; suboptimal but cheap.
+(define (compute-eta-reductions conts kfun)
+  (define (visit-fun kfun nested-funs eta)
+    (let ((body (compute-function-body conts kfun)))
+      (define (visit-cont label nested-funs eta)
+        (match (intmap-ref conts label)
+          (($ $kargs names vars ($ $continue k src ($ $values vars)))
+           (values nested-funs
+                   (intset-maybe-add! eta label
+                                      (match (intmap-ref conts k)
+                                        (($ $kargs)
+                                         (and (not (eqv? label k)) ; A
+                                              (not (intset-ref eta label)) ; B
+                                              ))
+                                        (_ #f)))))
+          (($ $kargs _ _ ($ $continue _ _ ($ $fun kfun)))
+           (values (intset-add! nested-funs kfun) eta))
+          (($ $kargs _ _ ($ $continue _ _ ($ $rec _ _ (($ $fun kfun) ...))))
+           (values (intset-add*! nested-funs kfun) eta))
+          (_
+           (values nested-funs eta))))
+      (intset-fold2 visit-cont body nested-funs eta)))
+  (define (visit-funs worklist eta)
+    (intset-fold2 visit-fun worklist empty-intset eta))
+  (persistent-intset
+   (worklist-fold visit-funs (intset-add empty-intset kfun) empty-intset)))
+
+(define (eta-reduce conts kfun)
+  (let ((label-set (compute-eta-reductions conts kfun)))
+    ;; Replace any continuation to a label in LABEL-SET with the label's
+    ;; continuation.  The label will denote a $kargs continuation, so
+    ;; only terms that can continue to $kargs need be taken into
+    ;; account.
+    (define (subst label)
+      (if (intset-ref label-set label)
+          (match (intmap-ref conts label)
+            (($ $kargs _ _ ($ $continue k)) (subst k)))
+          label))
+    (transform-conts
+     (lambda (label cont)
+       (and (not (intset-ref label-set label))
+            (rewrite-cont cont
+              (($ $kargs names syms ($ $continue kf src ($ $branch kt exp)))
+               ($kargs names syms
+                 ($continue (subst kf) src ($branch (subst kt) ,exp))))
+              (($ $kargs names syms ($ $continue k src exp))
+               ($kargs names syms
+                 ($continue (subst k) src ,exp)))
+              (($ $kreceive ($ $arity req () rest () #f) k)
+               ($kreceive req rest (subst k)))
+              (($ $kclause arity body alt)
+               ($kclause ,arity (subst body) alt))
+              (_ ,cont))))
+     conts)))
+
+(define (compute-singly-referenced-labels conts body)
+  (define (add-ref label single multiple)
+    (define (ref k single multiple)
+      (if (intset-ref single k)
+          (values single (intset-add! multiple k))
+          (values (intset-add! single k) multiple)))
+    (define (ref0) (values single multiple))
+    (define (ref1 k) (ref k single multiple))
+    (define (ref2 k k*)
+      (if k*
+          (let-values (((single multiple) (ref k single multiple)))
+            (ref k* single multiple))
+          (ref1 k)))
+    (match (intmap-ref conts label)
+      (($ $kreceive arity k) (ref1 k))
+      (($ $kfun src meta self ktail kclause) (ref2 ktail kclause))
+      (($ $ktail) (ref0))
+      (($ $kclause arity kbody kalt) (ref2 kbody kalt))
+      (($ $kargs names syms ($ $continue k src exp))
+       (ref2 k (match exp (($ $branch k) k) (($ $prompt _ _ k) k) (_ #f))))))
+  (let*-values (((single multiple) (values empty-intset empty-intset))
+                ((single multiple) (intset-fold2 add-ref body single multiple)))
+    (intset-subtract (persistent-intset single)
+                     (persistent-intset multiple))))
+
+#;
+(define (compute-singly-referenced-labels conts body)
+  (define (add-ref label counts)
+    (define (ref k counts) (intmap-add counts k 1 +))
+    (define (ref0) counts)
+    (define (ref1 k) (ref k counts))
+    (define (ref2 k k*) (ref k (if k* (ref k* counts) counts)))
+    (match (intmap-ref conts label)
+      (($ $kreceive arity k) (ref1 k))
+      (($ $kfun src meta self ktail kclause) (ref2 ktail kclause))
+      (($ $ktail) (ref0))
+      (($ $kclause arity kbody kalt) (ref2 kbody kalt))
+      (($ $kargs names syms ($ $continue k src exp))
+       (ref2 k (match exp (($ $branch k) k) (($ $prompt _ _ k) k) (_ #f))))))
+  (intmap-fold (lambda (label count single)
+                 (if (= count 1)
+                     (intset-add single label)
+                     single))
+               (pk (intset-fold add-ref body empty-intmap))
+               empty-intset))
+
+(define (intset-maybe-add! set k add?)
+  (if add? (intset-add! set k) set))
+(define (intset-add* set k*)
+  (let lp ((set set) (k* k*))
+    (match k*
+      ((k . k*) (lp (intset-add set k) k*))
+      (() set))))
+(define (intset-add*! set k*)
+  (fold1 (lambda (k set) (intset-add! set k)) k* set))
+
+(define (compute-beta-reductions conts kfun)
+  (define (visit-fun kfun nested-funs beta)
+    (let* ((body (compute-function-body conts kfun))
+           (single (compute-singly-referenced-labels conts body)))
+      (define (visit-cont label nested-funs beta)
+        (match (intmap-ref conts label)
+          ;; A continuation's body can be inlined in place of a $values
+          ;; expression if the continuation is a $kargs.  It should only
+          ;; be inlined if it is used only once, and not recursively.
+          (($ $kargs _ _ ($ $continue k src ($ $values)))
+           (values nested-funs
+                   (intset-maybe-add! beta label
+                                      (and (intset-ref single k)
+                                           (match (intmap-ref conts k)
+                                             (($ $kargs) #t)
+                                             (_ #f))))))
+          (($ $kargs _ _ ($ $continue _ _ ($ $fun kfun)))
+           (values (intset-add nested-funs kfun) beta))
+          (($ $kargs _ _ ($ $continue _ _ ($ $rec _ _ (($ $fun kfun) ...))))
+           (values (intset-add* nested-funs kfun) beta))
+          (_
+           (values nested-funs beta))))
+      (intset-fold2 visit-cont body nested-funs beta)))
+  (define (visit-funs worklist beta)
+    (intset-fold2 visit-fun worklist empty-intset beta))
+  (persistent-intset
+   (worklist-fold visit-funs (intset-add empty-intset kfun) empty-intset)))
+
+(define (fold2* f l1 l2 seed)
+  (let lp ((l1 l1) (l2 l2) (seed seed))
+    (match (cons l1 l2)
+      ((() . ()) seed)
+      (((x1 . l1) . (x2 . l2)) (lp l1 l2 (f x1 x2 seed))))))
+
+(define (compute-beta-var-substitutions conts label-set)
+  (define (add-var-substs label var-map)
+    (match (intmap-ref conts label)
+      (($ $kargs _ _ ($ $continue k _ ($ $values vals)))
+       (match (intmap-ref conts k)
+         (($ $kargs names vars)
+          (fold2* (lambda (var val var-map)
+                    (intmap-add! var-map var val))
+                  vars vals var-map))))))
+  (intset-fold add-var-substs label-set empty-intmap))
+
+(define (transform-conts f conts)
+  (intmap-fold (lambda (k v out)
+                 (let ((v* (f k v)))
+                   (if (equal? v v*)
+                       out
+                       (intmap-add! out k v* (lambda (old new) new)))))
+               conts
+               conts))
+
+(define (beta-reduce conts kfun)
+  (let* ((label-set (compute-beta-reductions conts kfun))
+         (var-map (compute-beta-var-substitutions conts label-set)))
+    (define (subst var)
+      (match (intmap-ref var-map var)
+        (#f var)
+        (val (subst val))))
+    (define (transform-exp label k src exp)
+      (if (intset-ref label-set label)
+          (match (intmap-ref conts k)
+            (($ $kargs _ _ ($ $continue k* src* exp*))
+             (transform-exp k k* src* exp*)))
+          (build-term
+           ($continue k src
+             ,(rewrite-cps-exp exp
+                ((or ($ $const) ($ $prim) ($ $fun) ($ $rec))
+                 ,exp)
+                (($ $call proc args)
+                 ($call (subst proc) ,(map subst args)))
+                (($ $callk k proc args)
+                 ($callk k (subst proc) ,(map subst args)))
+                (($ $primcall name args)
+                 ($primcall name ,(map subst args)))
+                (($ $values args)
+                 ($values ,(map subst args)))
+                (($ $branch kt ($ $values (var)))
+                 ($branch kt ($values ((subst var)))))
+                (($ $branch kt ($ $primcall name args))
+                 ($branch kt ($primcall name ,(map subst args))))
+                (($ $prompt escape? tag handler)
+                 ($prompt escape? (subst tag) handler)))))))
+    (transform-conts
+     (lambda (label cont)
+       (match cont
+         (($ $kargs names syms ($ $continue k src exp))
+          (build-cont
+           ($kargs names syms ,(transform-exp label k src exp))))
+         (_ cont)))
+     conts)))
+
+(define (simplify2 fun)
+  (let-values (((conts kfun) (fun->conts fun)))
+    (let* ((conts (beta-reduce conts kfun))
+           (conts (eta-reduce conts kfun)))
+      ;; Renumbering prunes unreachable continuations.
+      (conts->fun (renumber conts kfun) 0))))