Economic Growth Pegged at 1 Percent in First Quarter

In its final revision of gross domestic product (GDP) growth for the first quarter, the Commerce Department Thursday rounded up its previously-reported 0.9 percent growth rate to an even 1 percent for posterity’s sake, roughly in line with economists’ expectations.

Commerce had initially reported GDP growth of 0.9 percent in the first three months of 2008 and held that number steady in its second revision. Thursday marks the last revision, with the 1 percent rate entering the historical record. GDP growth in the fourth quarter of 2007 was 0.6 percent.

GDP measures the value of all goods and services produced within the United States and is regarded the best barometer of the nation’s economic fitness.

The relatively good news did little to help Wall Street, which plummeted more than 350 points Thursday on other signs of economic weakness and record-high oil prices, which topped out at $140 per barrel Thursday.

In a separate report, the Labor Department said the number of new applications filed for unemployment benefits held steady over the last week at 384,000. The figure, higher than analysts were expecting, points to a struggling labor market, according to economists.