What you need to know today to survive and thrive in the recession.
House Passes Stimulus Package (WaPo)
On the eighth day of his presidency, Obama achieves passage in the House of his $819 billion economic stimulus package. The Senate will vote today.
Geithner Says Plan for Banks Is in the Works (NYT)
But he discourages talk of “nationalization,” even though sources say he’s been sniffing around on this “bad bank” concept.
Wall Street Cheers Plan to Absorb Bad Assets (WaPo)
Stocks rallied yesterday as the Federal Reserve announced that it would keep short-term interest rates near zero and the Obama administration mulled creating an institution to absorb the toxic assets of financial institutions.
‘Nowhere to Hide’ From Global Slowdown (Bloomberg)
In Davos, where a very different tone permeates this year’s World Economic Forum, “Dr. Doom,” economist Nouriel Roubini, says the recession will last until 2010, U.S. economic growth will languish under 1 percent and developing countries will face far worse conditions.
Dr. Doom II (Tech Ticker)
George Soros, also in Davos, sounded an even more dire tone, asserting the current crisis has the potential to be worse than the 1930s.
U.S. Aid Goes to Credit Unions (WaPo)
The federal government yesterday expanded its bailout to another vulnerable sector, saying it will inject $1 billion into a nonprofit company that provides banking services to the credit union industry.
Chinese Premier Blames Recession on America (WSJ)
Leaders in China, the world’s third-largest economy, have been surprised and upset over how much the problems of the U.S. financial sector have hurt China’s holdings.
P.O. in Trouble (HuffPo)
Even the U.S. Post Office is feeling the crunch. Yesterday, the Postmaster General said it may lead to cutting one day of delivery.
Economic Pressures Lead to Deaths (MSNBC)
This is very sad: The crunch of the economy is believed to have been the motive behind an Ohio man’s murder of his family and his own suicide.
Starbucks’s Strange Brew (ABC)
As part of its strategy to cut costs (in addition to closing 300 stores and laying off 6,700 workers), Starbucks will stop brewing decaf coffee after noon.
What Recession? (NYT)
Wall Street paid out $18.4 billion in bonuses last year, the sixth largest haul on record.
Wall Street Bonuses Fall (NYMag)
But a state of New York report says they were down 44 percent last year, and New York City is expected to feel the squeeze.
Downturn Grounds Private Jets (NYT)
After enjoying a long run as an enviable perk of corporate America, corporate jets are rapidly becoming symbols of high-flying excess.
Fashion in Denial (NYT)
Is the economy having an impact on spring couture season in Paris? No, says Karl Lagerfeld, it’s just having an impact “on the conversation.”