While this has been possible before and I guess ( from somewhat superficial reading ) Michael Sparks Kamaelia project is all about this kind of stuff, Python 2.5 generators can be used trivially to turn higher order functions like reduce or map into generators producing streams. After reading a thread here on comp.lang.python initiated by someone who gets nervous about reduce() is going away in Py3K one might just respond that it's not a big deal: functions are out anyway, dataflow and coroutines are in :)
http://aspn.activestate.com/ASPN/Cookbook/Python/Recipe/498264 -- http://mail.python.org/mailman/listinfo/python-list