The third world economy is moving smoothly amid global warming and the recent spread of COVID-19.
Japan’s economy fared better than expected in the third quarter when global turmoil and new COVID-19 lawsuits affected businesses and consumer spending, leading to difficulties in developing a new government.
While many experts expect a third world economy to rise again in the existing sector, global worsening poses risks.
“The decline was much higher than expected because of the online crisis, which is costly and costly,” said Takeshi Minami, an economist at the Norinchukin Research Institute.
“We expect the economy to resume this quarter but the pace is slowing down as drinking has not started well even though COVID-19 measures were reduced by the end of September.”
The economy fell 3 percent in the July-September quarter after earning a 1.5 percent gain in the first quarter, Monday (GDP) figures showed on Monday, compared to a median market forecast of 0.8%.
Weak GDP differs from stimulus figures from other leading countries such as the United States, which saw its economy grow at 2 percent a third of the high demand.
On a quarterly basis, GDP fell by 0.8 per cent compared to market forecasts which will fall by 0.2 per cent.
Prime Minister Fumio Kishida plans to launch a massive “tens of trillion yen” economic stimulus package on Friday, but some economists are skeptical about how it contributes to long-term growth.
“This package can be a mixed bag for long-term and long-term growth, and its purpose can be unpredictable, so it will not affect the long term,” said Minami of Norinchukin.
Consumption fell 1.1 percent in July-September from the previous quarter after a 0.9 percent gain in April-June.
Fiscal spending also fell 3.8 percent after rising 2.2 percent revised in the previous quarter.
The cost of goods
Domestic demand was 0.9 percent growth in GDP.
Exports lost 2.1 percent in July-September from the previous quarter when sales were affected by chip shortages and delivery difficulties.
Researchers interviewed by Reuters news agency expect Japan’s economy to grow 5.1 percent annually, while consumer and car dealerships are triggered by a reduction in COVID-19 cases and a reduction in power outages.
Japanese companies continue to face the risk of high prices and supply constraints, which threaten to weaken the economy in the short to medium term.