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BREAKING NEWS: A federal appeals court rules 2-1 that subsidies that helped people buy insurance at healthcare.gov are illegal.

WASHINGTON (Reuters) - A U.S. appeals court on Tuesday threw out a federal regulation that implements key subsidies that are vital to President Barack Obama's healthcare overhaul. The U.S. Court of Appeals for the District of Columbia Circuit accepted one of the main legal challenges to the policy by conservatives opposed to an expansion of the federal government. A three-judge panel returned the case to a lower court with instructions to rule in favor of appellants who had sued to overturn t...

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Republican Pawlenty names economic adviser

Republican presidential candidate Tim Pawlenty speaks at the Faith and Freedom Coalition in Washington
Republican presidential candidate Tim Pawlenty speaks at the Faith and Freedom Coalition in Washington

WASHINGTON (Reuters) - Republican presidential hopeful Tim Pawlenty tapped a former top aide to President George W. Bush as an adviser on Friday, days after Pawlenty issued an economic blueprint for his campaign.

Al Hubbard served as Bush's National Economic Council director and has advised Indiana Governor Mitch Daniels, who recently decided he would not seek the Republican nomination for the right to challenge President Barack Obama in 2012.

Pawlenty this week unveiled an economic plan that includes slashing individual and corporate taxes and making big cuts to government spending.

The proposal was met with criticism for its assumption of a 5 percent growth rate for the economy, a rarely achieved feat.

Hubbard, who will chair the campaign's policy efforts, said in a statement that Pawlenty "knows there is a path to expansive growth and because of this I believe he is the right man to lead us toward a brighter future."

Pawlenty said Hubbard "carries weight with policy makers and thought leaders nationally."

(Reporting by Kim Dixon; Editing by)

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