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- Japan’s Economy Worsening
Japan’s Economy Worsening
According
to one of the government’s main indicators, Japan’s economy is deteriorating
for the first time in six years.
The index
shows that economic conditions fell 0.9 percent from February to March, thus
statisticians now claim that the economy is worsening rather than weakening.
This is the bottom grade that is used to describe an economy. The last time
such a grade was given to Japan’s economy was in 2013.
The reasons
behind this downfall in the economy are the trade war between China and the U.S
and a slowdown in Japan’s main export markets, according to the Financial
Times.
Even though
things are looking bad for the economy, the government still plans to increase
the consumption tax from eight to ten percent.
On the upside, a number of analysts believe that the economy will not reach a
recession because of the strength of domestic demand and the current
unemployment rate of 2.5 percent.
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