World economy on thin ice - U.N.

The United Nations blames dire situation on the decline of the U.S. housing and financial sectors.

Last Updated: May 16, 2008: 5:54 AM EDT

UNITED NATIONS (AP) -- The world economy is "teetering on the brink" of a severe downturn and is expected to grow only 1.8% in 2008, the United Nations said in its mid-year economic projections Thursday.

That's down from a global growth rate of 3.8% in 2007, and the downturn is expected to continue with only a slightly higher growth of 2.1% in 2009, the U.N. report said.