Japan Avoids Recession As Country Registers 1 Per Cent Growth In Economy In July-Sep

Economy Growth
Economy Growth Photo credit: Foter.com

Japan sidestepped recession last quarter: Revised data released om 08th December showed its economy grew at an annual 1.0 percent pace instead of shrinking. A previous estimate had shown the world’s third-largest economy contracted 0.8 percent in the July-September quarter, after shrinking 0.5 percent in the previous quarter. Two consecutive quarters of contraction are considered a recession.

If revised data also witnessed a decline in the economy in the July-September quarter , it is assumed that Japan fell into recession. Fall is considered as Recession in continuously 02 quarter. After signs of growth in the economy is likely to become that currently central bank of Japan will not apply the new relief measures.

According to figures released today during the quarter witnessed an increase in corporate investment. “Actually, relative to the impressive gain in income, private domestic demand … remains quite low,” Masamichi Adachi of JPMorgan said in a research note. He described the inventories situation as a “wild card.”

 

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