As Congress discusses options on how to fix the credit markets in the U.S., new home sales dip to their lowest levels since January of 1991. The latest report from the Commerce Department shows newly built single family homes fell 11.5 percent in August which is also 34.5 percent lower than one year ago.

Secretary Henry Paulson is rushing Congress into passing his new mortgage bailout relief program that would essentially give Paulson $700 billion to spend as he sees fits without consequences. Congress, however, has its skeptics on passing such a large bailout that would put American taxpayers on the hook if it fails.

A key gauge of inflation in the U.S. economy rose slightly in March, as soaring energy prices overwhelmed declines in some other areas.

Republican presidential hopeful John McCain has outlined his economic policy based on tax cuts for businesses and middle income Americans.

The head of the U.S. central bank, Ben Bernanke, told a congressional committee the U.S. economy could face a mild recession, but it should recover later this year.

The dollar's sharp drop on currency markets, along with economic doldrums in the United States are taking their toll on American tourists and expatriates overseas. Even Paris has seen a 10 percent decline in its number-one foreign visitor.

U.S. Treasury Secretary Henry Paulson says U.S. financial regulations need modernization to match the growing size and complexity of financial institutions.

President Bush says he is confident tax incentives and tax rebates will make the U.S. economy "stronger than ever before." The president and Congress agreed on a temporary stimulus plan last month after rising energy prices and falling property values slowed economic growth.

Polls show overwhelming numbers of Americans believe the U.S. economy is in a recession, although government statistics have yet to show a period of negative growth that meets the technical definition. What is known is that the American economy has slowed dramatically, and that the U.S. housing and credit markets are in turmoil while the dollar plummets and inflationary pressures are on the rise.

Japan's Topix index went up for a fourth trading day, led by automakers after Nissan Motor Co. forecast higher sales, boosting confidence companies will get over a slowdown in the U.S. economy.

The Paris-based Organization for Economic Development and Cooperation (OECD) published a grim assessment Thursday of the United States economy, saying it was close to recession. However, the OECD suggested European economies will likely fare better this year.

A national policy to cut carbon emissions by as much as 40 percent over the next 20 years could still result in increased economic growth, according to an interactive website that reviews 25 of the leading economic models used to predict the economic impacts of reducing emissions.