Japan's Current State And Recommendations
Contents
EXECUTIVE SUMMARY 1
CURRENT STATE OF ECONOMY 2
CHALLENGES AND PROSPECTS 3
POLICY RECOMMENDATIONS 4
GROUP APPENDIX 6
Executive Summary
Current State
• Japan has been showing positive growth since 2002 demonstrated by an average 2% rise in GDP every year.
• Exports and business investments form a large part of the GDP growth with key export nations as US and China.
• Japan has a high gross debt standing at 147% of its GDP.
• Inflation continues to maintain a nearly zero trend.
• The unemployment rate is about 3.8% in a tight labour market with sluggish wage growth.
Medium Term Challenges and Prospects
• Japan has a huge debt, a large aging population and an increasing wealth gap.
• A heavy reliance on export to US for growth and threat of China as a manufacturing competitor.
• A fluctuation in energy prices globally is a potential threat to the energy intensive manufacturing industries.
• Prospects include making the nation more......
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