Virtues of Pot Limit
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It wouldn't be NL if you had a cap. Maybe you should try Pot limit holdem it sounds like what you are looking for.
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The mechanics of a Pot Limit game are more complicated. I think it's too much trouble for a home game. Just limit the buy in for a NL game. And limit the rebuys.
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I play Pot-Limit Hold'em and Omaha in my home game and it's not hard at all to manage the pot. You should know how much is in the pot anyway. Pot limit plays great.
The purpose of pot-limit is not to limit losses-- you can loose a lot in PL! (Which is why there is also "CAP PL")
The purpose of PL is to make the game more about post-flop play. PL also weakens the effect of having a maniac at the table (which usually means people play tighter and fewer flops are seen, which I think makes for less interesting game).
At the beginner and intermediate levels (at least), PL increases the reward to skill and lowers the luck factor.
Ciaffone is a proponent of PL hold'em cash games, and Negreanu is a proponent of PL hold'em tournaments for these reasons.
-ds
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