Japan's GDP

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Japan's GDP
Japan's economy is in its second recession since Shinzo Abe took office in late 2012.
GDP contracted at an annualised pace of 0.8% in the third quarter of this year, after also falling in the previous quarter. Weak business investment and shrinking inventories were behind the fall. The figure is not as bad as it seems, however. Consumption is in perkier shape. The real potential growth rate in Japan is probably only a little above zero, thanksto the country's shrinking workforce. And critically, Japan's nominal GDP (the sum of realGDP plus inflation) rose in the third quarter and has grown by 3.1% over the past year. That sort of growth in nominal GDP represents a banner performance by Japan's recent standards.