Economic woes may spread beyond U.S., Group of 7 warns

Finance leaders from the world's wealthiest nations warned on Saturday that global economic woes could get worse from the slump in the U.S. housing market but offered few specific remedies.

In a communiqué issued after meetings in Tokyo, the finance ministers and central bank chiefs of the Group of Seven industrialized nations offered a more pessimistic view of the global economy than four months ago, after their last meeting. At the same time, they also said global economic fundamentals remained strong, and the U.S. economy, the world's largest, was likely to avoid recession.

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