Seems like I have had so many people ask how to do a dotted line in Photoshop, so here is the easiest way, using custom brushes.
Open the brushes Pallete by selecting a brush. (B)
Ctrl/Cmd click on a brush to open the modifier window.
(Open Brushes Palette in CS and CS2)
This is the modifier window.
Click the new brush button, so we are modiftying a copy and not the original.
Set the spacing for 150% - More to increase the gap between dots
(Photoshop CS and CS2, Click on the brush Tip shape option)
To draw a straight line: Click your mouse anywhere, Hold shift and click again. It will connect the dots, with a nice dotted line.
Here is a little example of what is possible with dotted lines.
I created a background and renamed it layer 1. Added a new layer on top
and made some dotted lines.
Then I loaded the selection, selected layer 1, turned off layer 2 and hit delete.
Then I added a white background and a drop shadow for effect.