Democrats Promote Volcker as Car Czar

Ex-Fed chief says consumerism, unchecked Wall Street to blame for woe

(NEWSER) - Paul Volcker is known for the tough measures he used as Fed chief to reel in inflation in 1981, risking a recession and widespread pain in the short term to get the economy back on track for the next 2 decades. Now Volcker, tapped as chairman of Obama’s Economic Recovery Advisory Board, says painful measures are going to be required again, the Los Angeles Times reports. “It’s going to be a tough period,” he predicted recently. More»

Joe says Obama never called back; politicos talk bailouts on TV

(NEWSER) - Joe Lieberman told Meet the Press today that he regrets "some things I said in the heat of the campaign that I wish I'd said more clearly," and hopes Barack Obama will put, er, "country first" by leading in a bipartisan fashion. Lieberman said he called Obama during the campaign, but, oddly, never heard back from him, Politico reports. In other talk shows:

• On Fox News Sunday, Obama adviser David Axelrod urged the next Congress to create a new multi-billion-dollar bailout plan to create jobs, The Hill reports. “We don’t have time to waste here,” Axelrod said.

President instructs Geithner to use "every legal avenue" to reclaim funds

(NEWSER) - President Obama has asked Tim Geithner to use “every legal avenue” to prevent AIG from paying out $165 million in bonuses to top employees who had a hand in the company's near-collapse, the Wall Street Journal reports. "This isn't just a matter of dollars and cents. It's about our fundamental values," said Obama. More»

(NEWSER) - Executives at companies that get “exceptional help” from the federal government are in for a big pay cut, President Obama announced today. Top-level executives will have salaries capped at $500,000, Obama said, “a fraction of the salaries that have been reported recently.” The only other compensation they’ll be eligible for will be restricted stock that vests only after taxpayers have been repaid. Obama also restricted severance packages, saying, “We’re taking the air out of the golden parachute.” More»

Riding a wave of popularity, the president-elect hopes to act quickly on economy

(NEWSER) - If there's a silver lining to the profound economic crisis President-elect Barack Obama is stepping into, the New York Times reports, it's that the recovery plan that's taking shape under his direction affords him an unprecedented chance to address his most ambitious campaign promises right out of the blocks. Riding a popularity surge, he has an opportunity few presidents have enjoyed: a bipartisan green light to spend more and cut taxes. More»