Economy still growing, but slowly

The U.S. economy continues to grow, but slowly, according to the U.S. Treasury Department.

Real Gross Domestic Product grew at a rate of 0.9 percent in the first quarter of 2008, according to quarterly statistics released today, up from 0.6 percent in the fourth quarter of 2007. Over the past four quarters, real Gross Domestic Product grew 2.5 percent.

Business investment decreased 0.3 percent, and residential construction dropped 25.5 percent. Exports increased 2.8 percent, while imports dropped 2.6 percent.

Personal saving increased 0.6 percent in the first quarter, and consumption increased 1 percent.

Nonfarm productivity increased 2.6 percent in the first quarter, while manufacturing productivity increased 3.6 percent. Nonfarm unit labor costs increased 2.2 percent, and hourly nonfarm compensation increased 4.9 percent.

Unemployment increased 5.5 percent in May, up from 5 percent in April, according to monthly statistics released today. Nonfarm payroll employment decreased by 49,000 in May, and private nonfarm payroll employment decreased by 66,000 in May.

The Consumer Price Index increased 0.6 percent in May, and over the past year the CPI has increased 4.1 percent.