Pay Limits in Stimulus May Cause Brain Drain, Industry Says, by Ryan J. Donmoyer and Brian Faler, Bloomberg, February 14, 2009 Summary: President Obama has signed the $787 billion American Recovery and Reinvestment Act into law. The controversial stimulus bill includes provisions limiting pay for executives of firms that receive federal aid. Industry experts fear that the legislation will produce wide-ranging unintended consequences that could ultimately undermine the stimulative purpose of the federal aid. Discussion Questions

Stimulus: Now for the hard part, by Jeanne Sahadi, CNNMoney.com, February 17, 2009 Summary: Congressional Democrats couldn't convince Republican colleagues to support a $787 billion spending bill aimed at boosting the economy, but the stimulus plan passed anyway due to slim majorities in both houses of Congress. Now that President Obama has signed the American Recovery and Reinvestment Act into law, how will Americans know if it's working? Discussion Questions

Bank CEOs flogged in Washington by David Ellis, CNNMoney, February 11, 2009 Summary: After lending hundreds of billions of dollars to American banks in 2008, the House Financial Services Committee met with the industry's top CEOs to discuss the use of those funds. While Chairman Barney Frank accused the financial institutions of not lending to borrowers, bank CEOs countered that their banks loaned more than usual as a result of the government aid. The heated exchange highlighted the confusion that often occurs during large government interventions in the private sector. Discussion Questions

Obama's Perks: Private Jet, Chef Tax Free, by Scott Mayerowitz, ABC News, February 5, 2009 Summary: Executive compensation is a thorny issue during a national recession. While CEOs at the Big Three automakers have scaled back on their jet travel and other perks, some are calling on President Obama to set the tone for executive frugality. The President of the United States reportedly receives a bevy of lavish tax-free perks, including a $400,000 salary, $50,000 entertainment budget, and unlimited use of Air Force One. Discussion Questions

Instead of stimulus, do nothing - seriously, by Robert Higgs, The Christian Science Monitor Summary: Economic forecasting is not a precise science; economists have wide disagreement on the issue of how best to remedy the current credit crunch. Robert Higgs, a senior fellow in political economy for The Independent Institute, argues that the economy will recover best if politicians stay out of the way. Discussion Questions