Economy grew 0.6% in first quarter

By Tom Stundza -- Purchasing, 4/30/2008 11:54:00 AM

The U.S. Commerce Department said the economy grew at an annual rate of 0.6% in the first three months of the year, in an initial estimate of gross domestic product (GDP) for the quarter. The growth matches that of 2007's final period. The Associated Press says the bruised economy limped through the first quarter because housing and credit problems forced people and businesses alike to hunker down.

The government's latest estimate on the GDP shows an economy barely managing to grow, says this morning’s Morning Edition on National Public Radio. “The economy is weak but not collapsing,” said Lynn Reaser, chief economist at Bank of America's Investment Strategies Group. “A recession can't be ruled out, although the stars are not lined up at this point to definitively say one way or the other.”