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With many of California's swine flu cases and investigations among children, officials are giving special attention to the rich breeding grounds that are schools.

The nation's unemployment rate jumped to 9.7 percent in August, even as employers shed fewer jobs than predicted for the month — a mixed signal for an economy that many believe is on the mend after its worst slump in decades.

Pakistan's Supreme Court ruled 6-3 Friday that President Pervez Musharraf is allowed to contest the Oct. 6 election, dismissing legal challenges that he could not run while remaining army chief. The ruling virtually assures Musharraf will remain Pakistan's leader.

Lawmakers in Sacramento are still in a deadlock over how to close the state's $26.3 billion budget deficit. What are the main areas of disagreement between the Republicans and Democrats? And, will lawmakers reach a budget agreement before their planned vacation begins this weekend?

The U.S. Supreme Court on Wednesday banned the death penalty for people convicted of raping a child. In the 5-4 decision, the court ruled that executing someone convicted of the crime "is not a proportional punishment" and violates the ban on cruel and unusual punishment.

Rafiq Husseini, chief of staff for Palestinian leader Mahmoud Abbas, says Abbas has the mandate of the Palestinian people to negotiate for peace, even though Hamas, which refuses to recognize Israel, now controls the Gaza Strip. He also disagrees with the Israeli point of view that East Jerusalem is different from the West Bank.

President-elect Obama completed his top Cabinet selections, saying his team of advisers can meet economic challenges but warning that recovery will be years off. Among his choices Friday were Ray LaHood to head the Transportation Department and Hilda Solis for labor secretary.

Lawmakers tore into AIG chief Edward Liddy Wednesday about the $165 million in bonuses paid out to executives at the firm, a major bailout beneficiary. It was red meat, yes, but perhaps also part of a necessary unraveling of just what went wrong on Wall Street.

During his 34 years on the Supreme Court, Justice John Paul Stevens became a brilliant tactician, forging unexpected majorities that established new legal rules on issues ranging from the death penalty to national security. Although the retiring justice dislikes the description, he is considered the leader of the court's liberal faction.

In Lancaster, S.C., the town's largest employer has shut down, leaving hundreds of textile workers wondering how they will deal with the economic downturn. Some are learning new skills to survive, but others feel lost.