Obama Reverses Stand on Drug Industry Deal  —  WASHINGTON — Caught between a pivotal industry ally and the protests of Congressional Democrats, the Obama administration on Friday backed away from what drug industry lobbyists had said this week was a firm White House promise to exclude …

SEIU Gets Threatening Phone Call: “You're Gonna Come Up Against The Second Amendment”  —  An official with SEIU, which has been sending members to town halls to counterbalance the Tea Party brigade, sends over this audio of a phone call the union says it received on its central voicemail system …

Palin: Obama's “Death Panel” Could Kill My Down Syndrome Baby  —  In a new posting on her Facebook account, former Gov. Sarah Palin (R-AK) made a dire statement about health care reform — that it could result in an Obama-created “death panel” killing her infant son with Down Syndrome:

Embattled S.C. Governor Sanford, Wife Are Splitting Up  —  Jenny Sanford, the wife of South Carolina Gov. Mark Sanford, announced Friday morning that she and their sons will leave the governor's mansion in Columbia and settle in the Charleston area, a split that comes after the couple tried for seven weeks to mend their marriage.

Health Debate Turns Hostile at Town Hall Meetings  —  The bitter divisions over an overhaul of the health care system have exploded at town-hall-style meetings over the last few days as members of Congress have been shouted down, hanged in effigy and taunted by crowds.

As Economy Turns, Washington Looks Better  —  WASHINGTON — What if in the end they got it right?  —  What if, amid all their missteps and all the harsh criticism, the people in charge of battling the worst financial crisis since the Great Depression — Ben Bernanke, Timothy Geithner …

Obama: Healthcare's ‘outlandish rumors’  —  With the White House this week gearing up a campaign to dispel “misinformation” about the healthcare reform that President Barack Obama is promoting, the president today says that it's important to quell the “outlandish rumors” circulating.

Budget cuts put new textbook purchases on hold  —  The state and many California school districts look to save money by postponing approvals of updated books.  Some fear the moves may put students at a disadvantage.  —  History textbooks in many California classrooms won't mention the election …

Nancy and the Astroturfers  —  This was the scene when I arrived at Stout Street Clinic in downtown Denver.  Nancy Pelosi is to pay a visit to the clinic within the hour.  About 200 people opposed to Obama's healthcare agenda braved the mile high Denver sun and high temperatures to show their opposition.

Stop the violence at health care town halls  —  Things are turning ugly.  Town halls, which typically serve as open, safe environments to ask questions of elected officials, have degenerated into violent shouting matches.  —  Last night in St. Louis, Missouri, a reverend and member of SEIU was assaulted at a town hall.

Video: Democratic congresswoman holds “prayer vigil” on health care  —  Remind me, which prayer is it that involves ranting about the stimulus bill and demanding single-payer health care?  Was that the one Jesus taught the crowd when he gave his sermon on insurance premiums?

Trucks win in Cash for Clunkers game  —  Because of distorted sales figures, Ford's Escape cross-over SUV, not the Focus small car, tops the list for most popular ‘clunker’ buy.  —  NEW YORK (CNNMoney.com) — What are people trading their clunkers in for?  It depends on who you ask.

Will health care reform cause lower wages?  —  A new study by Steven Nyce and Syl Schieber looks at the effects on wages of expanding health insurance coverage.  Their results are devastating.  —  Dr. Schieber is a pension/benefits expert with Watson Wyatt.

So where's your birth certificate, congressman?  —  From POLITICO's Kathryn McGarr:  —  Last week, POLITICO asked the 11 House Republicans co-sponsoring the so-called “birther” bill — requiring presidential candidates to prove they were born in the U.S.— for copies of their own birth certificates.

Eunice Kennedy Shriver in critical condition  —  (CNN) — Eunice Kennedy Shriver, sister of President Kennedy, is in critical but stable condition in a Massachusetts hospital with her family at her side, her family said Friday.  —  Members of her family flew in to Cape Cod Hospital …

Is This Health-Care Reform's Worst Idea Yet?  —  The Senate Finance Committee does not want to propose an employer mandate to promote health-care coverage.  But it doesn't want to let employers entirely off the hook, either.  So it has come up with one of the worst ideas in recent memory: A so-called “free rider” tax.