Increase in Prices of Imports Slows to 1.2%

The price of imported goods, one of the main inflationary threats facing the U.S. economy, rose 1.2% in the first three months of the year, a slight improvement from the end of last year, the government reported today.

The Labor Department said the first-quarter increase followed a 1.6% rise in import prices in the last three months of 1987 and credited the slowdown to continued declines in energy costs and a more stable dollar.