Japan grows 'much slower' than Tokyo suggests

[ze_dscherman]

Japan is growing at less than half the speed suggested by official data because of problems in calculating deflation and providing adequate seasonal adjustment, according to new research.


Instead of growing at a real 1.4 per cent in the first quarter, an annualised rate of 5.6 per cent, the Japanese economy expanded by a more modest 0.6 per cent in real terms, or 2.5 per cent on an annual basis, according to research by HSBC.

The sober assessment is a counterweight to economists who see Japan's latest bout of growth as fundamentally different from two other post-1990 recoveries, both of which ran out of steam.

SNIP

Nevertheless, Mr Sheard acknowledged that the durability of the recovery offered hope. The longer growth lasted, he said, the more chance the economy had of shifting into a self-reinforcing positive cycle.

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[RUMMYisFROSTED]

1. Sounds familiar.

[UpInArms]

2. the school for "cooking" the books

must be might crowded.