More Bad News For Democrats

The United States economy is growing like crazy.

The U.S. economy grew at a 4.4 percent annual pace from January through March, faster than estimated last month, as businesses replenished inventories, government spending rose and home construction accelerated. Corporate profits over the last year increased by the most in two decades.

The revised reading on gross domestic product, the value of all goods and services produced, compares with the advance estimate of 4.2 percent annual rate issued last month, the Commerce Department said in Washington. Profits, reported for the first time today, jumped 31.6 percent in the 12 months ended in March, the biggest increase since the first quarter of 1984.

Increasing sales and profits have given companies such as Intel Corp. and Texas Instruments Inc. the confidence to ramp up production and boost inventories. A rebound in manufacturing and more investment in new equipment will enable the economy to keep growing for the rest of the year.