Meltdown

Paulson says economy has turned down sharply


WASHINGTON (Reuters) - Treasury Secretary Henry Paulson said on Thursday that the U.S. economy had "turned down sharply" and still faced risks from the housing and finance sectors.

"The U.S. economy ... has turned down sharply. Risks continue to be do the downside," he said, citing troubles both in the housing sector and capital markets.

However, he noted that under an enacted economic stimulus bill, tax rebate checks would begin going out in early May. "We believe that given how they are targeted that they will make a real difference in the economy," he said.

Original article posted here.