Here's an interesting idea, just published Physical Review Letters, that on its face may solve all the problems of quantum gravity. The basic idea as that once upon a time space was four dimensional without time, and that a quantum fluctuation converted one of the spacial dimensions into time. At that moment, the universe began to change in time, rapidly inflated, and became the one we see around us. Before then (how can one talk about "before" something happened inside a universe without time? But I digress) the energy density was so great that the equations that described gravity included a quadratic term, and this term is what kept the solutions of the Einstein Field Equations finite. Theorists seem to think this model actually solves all the main problems with quantum gravity.
But... as Sabine asks--is it right?
Enjoy