Japan’s Below-Forecast Growth Fuels Sales-Tax Debate: Economy
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Japan’s economy slowed more than forecast in the second quarter as businesses cut investment, undermining gains in consumer and government spending that helped reduce deflationary pressures.
Gross domestic product rose an annualized 2.6 percent from the three months through March, when it climbed 3.8 percent, the Cabinet Office reported today in Tokyo. The median of 32 estimates was for a 3.6 percent gain. Unadjusted for price changes, nominal GDP growth accelerated to 2.9 percent.