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Recession Briefing 3.17

What you need to know today to survive and thrive in the recession.

Why, exactly, does AIG have a legal obligation to pay hundreds of millions of dollars in “bonuses?“ Because employees’ contracts tie them to performance benchmarks. Still, the Obama Administration is trying to figure out a way to get that money back. (Slate, New York Times)

Banks aren’t liking the “stress test” that the government is applying in connection to the TARP bailout funds. The chairman of Wells Fargo yesterday called the government’s plan “asinine.” (Bloomberg)

Reports of mortgage fraud jumped 26% last year, according to the Mortgage Asset Research Institute. Most cases stemmed from falsified applications. (AP via USA Today)

For those looking for a sign (any sign!) that things might be getting better comes the unexpected news that the number of new construction projects increased in February. (AP via New York Times)

Now that the Federal Government is putting caps on bonuses, Wall Street firms are looking for loopholes to make sure their employees keep taking home the big bucks. (Wall Street Journal)

The Treasury Department will spend as much as $15 billion in order to boost lending to small businesses. Historically, these types of companies have been responsibile for 70% of the nation’s jobs. (Los Angeles Times)

Federal prosecutors are still trying to get their hands on Bernie Madoff’s assets, even as police released his oddly calm mugshot photo yesterday. (CNN/Money)

Medical recession indicators: Vasectomies are up, Lasik elective eye surgeries and breast implants are down.  (Freakonomics Blog, Daily News)

Bowing to tough economic times and the pressure of the Internet, The Seattle Post-Intelligencer ceased its print edition, and will now continue as an online-only publication. (Seattle P-I)

A former Lehman Brothers mortgage broker who was laid off last year talks about what it took to get him back on his feet amidst the recession. (CNN/Money)

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