How to counter the Parham Attack

A) The line I higly reccomend is kiddie countergambit:

1.e4 e5 2.Qh5 Nf6 3.Qxe5+ Be7 

White is definitely not in a comfortable situation here, since white queen moved twice in the opening (vioating another rule - don't move your piece twice in the opening). The check gave white NADA, as black simply developed his B. Plus the queen has to move again now since (so third move with the same piece that should've stayed put 4 now):

1.e4 e5 2.Qh5 Nf6 3.Qxe5+ Be7 4.Nf3 Nc6 

If:

1.e4 e5 2.Qh5 Nf6 3.Qxe5+ Be74.Bb5 Nc6 5.Bxc6 dxc6 

White is also in far behind in developement, simply since taking the N opend the door for black's light square bishop. 

If now:

1.e4 e5 2.Qh5 Nf6 3.Qxe5+ Be74.Bb5 Nc6 5.Bxc6 dxc6 6.Qg3 

You can simply O-O, or play poisoned pawn:

1.e4 e5 2.Qh5 Nf6 3.Qxe5+ Be74.Bb5 Nc6 5.Bxc6 dxc6 6.Qg3 Bc5 7.Qxg7 Rg8 8.Qh6 Bxf2+ 

If you castle, watch out for this:

1.e4 e5 2.Qh5 Nf6 3.Qxe5+ Be74.Bb5 Nc6 5.Bxc6 dxc6 6.Qg3 O-O 7.d3 Be6 8.Bh6 

And this is basically only troublesome attack you can face so early with the Parham (not counting scholar's mate, but I asuume I don't need to cover that). I would refrain from using that opening at all costs, as you can see black has ton's of compensation for that pawn. The only thing worth noting here is that you do NOT want to go to abstract places and chase the queen around. Don't make mistakes as white does, capitalize on them instead.

BTW, I read somewhere that Parham is more like psychological attack (oh crap, white is going all out so early I dunno what to do help!!!). And that's why it mostly works.

B) Common sense will refute it easily:

1.e4 e5 2.Qh5?(The queen is out early, on its own trying to grab a pawn.)2... Nc6(Pawn secured while developing.)3.Bc4(Scholar's mate persistency...)3... g6(3... Qe7 works too)4.Qf3 Nf6 5.Ne2 Bg7 6.Nbc3 d6 7.d3 Bg4 8.Qg3 Nb4 9.Bb3 Be6(Easy as pie.)