WASHINGTON  With the country sinking deeper into recession, the Federal Reserve launched a bold $1.2 trillion effort Wednesday to lower rates on mortgages and other consumer debt, spur spending and revive the economy. To do so, the Fed will spend up to $300 billion to buy long-term government bonds and an additional $750 billion in mortgage-backed securities guaranteed by Fannie Mae and Freddie Mac. Fed Chairman Ben Bernanke and his colleagues wrapped a two-day meeting by leaving a key short-term bank lending rate at a record low of between zero and 0.25 percent. Economists predict the Fed will hold the rate in that zone for the rest of this year and for most _ if not all _ of next year.
WASHINGTON (AP) - Attorney General Eric Holder signaled a change on medical marijuana policy Wednesday, saying federal agents will target marijuana distributors only when they violate both federal and state law. That would be a departure from the Bush administration, which targeted medical marijuana dispensaries in California even if they complied with that state's law.
WASHINGTON, March 18 (Reuters) - U.S. Attorney General Eric Holder said on Wednesday preserving a healthy newspaper industry was important and he was open to adjusting antitrust policy if it could help. "I'd like to think 20, 30, 40 years from now people will still be reading the newspaper," Holder told reporters. He was responding to a call by House of Representatives Speaker Nancy Pelosi, urging the Justice Department to give newspapers more leeway to merge or combine operations. "The policy is to go after those people who violate both federal and state law," Holder said in a question-and-answer session with reporters at the Justice Department.
WASHINGTON  President Obama will propose further tax increases on the affluent to help pay for his promise to make health care more accessible and affordable, calling for stricter limits on the benefits of itemized deductions taken by the wealthiest households, administration officials said Wednesday. The tax proposal, coming after recent years in which wealth has become more concentrated at the top of the income scale, introduces a politically volatile edge to the Congressional debate over Mr. Obama’s domestic priorities. The president will also propose, in the 10-year budget he is to release Thursday, to use revenues from the centerpiece of his environmental policy  a plan under which companies must buy permits to exceed pollution emission caps  to pay for an extension of a two-year tax credit that benefits low-wage and middle-income people.
The Obama administration will seek to reinstate the assault weapons ban that expired in 2004 during the Bush administration, Attorney General Eric Holder said today. "As President Obama indicated during the campaign, there are just a few gun-related changes that we would like to make, and among them would be to reinstitute the ban on the sale of assault weapons," Holder told reporters. Holder said that putting the ban back in place would not only be a positive move by the United States, it would help cut down on the flow of guns going across the border into Mexico, which is struggling with heavy violence among drug cartels along the border.
Attorney General Eric Holder said at a press conference Wednesday that the Justice Department will no longer raid medical marijuana clubs that are established legally under state law. His declaration is a fulfillment of a campaign promise by President Barack Obama, and marks a major shift from the previous administration. After the inauguration, the Drug Enforcement Administration (DEA) continued to carry out such raids, despite Obama's promise. Holder was asked if those raids represented American policy going forward. "No," he said. "What the president said during the campaign, you'll be surprised to know, will be consistent with what we'll be doing in law enforcement. He was my boss during the campaign. He is formally and technically and by law my boss now. What he said during the campaign is now American policy."
