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China says its economy suffered only a mild setback in the first quarter of 2008, and remains resilient despite inflation and the worsening global credit crisis.
Figures released Wednesday by the government's National Bureau of Statistics shows China's economy expanded by 10-point-six percent between January and March, compared to just over 11-percent for the same period last year.
The bureau says consumer prices climbed eight-point-three percent in March, down from February's mark of eight-point-seven percent -- the highest inflation rate in nearly 12 years. The price increases are blamed in part on fierce snowstorms in January and February that disrupted factory production and destroyed crops.
Beijing fears rising inflation could spark a public backlash that will lead to social unrest.
A spokesman for the bureau of statistics says China will continue to adopt a tight monetary policy.
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