business

Japan's economy returns to black after first dip in two years

30 Comments
By Shingo Ito

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© 2018 AFP

©2018 GPlusMedia Inc.

30 Comments
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Have you ever thought about where those payments are made and where the money ends up?

On the hands of the dynastic families of the old guard zaibatsu.

-1 ( +0 / -1 )

Like it or not, payments on interests are going to just get bigger and bigger,

Have you ever thought about where those payments are made and where the money ends up?

0 ( +2 / -2 )

Don't suppose any of this amazing good news has to do with an election coming up soon. Nah. Couldn't be!

7 ( +8 / -1 )

Some weird thumbs-up on these kinds of stories...

8 ( +9 / -1 )

I agree with Jeff Lee san and Econstats 200%. No one now has any reason to criticize Abenomics, because it is clearly working and economy is soaring. It seems foreigners are the only ones to attack Abenomics any more. Japanese are seeing the fruits of PM Abe and Kuroda Sensei quantitative easing and easy monetary policy.

Japan is back, and leading the way in world economy along with USA. Haters going to hate...

-11 ( +1 / -12 )

Anyone who makes an honest living and pays their bills has nothing to be ashamed of.

1 ( +1 / -0 )

Abenomics is not perfect but still far better than DP's crazy austerity.

They are completely different beasts. Abenomics is trying to "ignite" the economic engine of Japan, while austerity was trying to fix the crazy expending and public debt.

Like it or not, payments on interests are going to just get bigger and bigger, and they are one of the reasons why taxes are going up, and it is a big reason for the economy not moving.

I would say that austerity is a less popular idea, because it means cuts and having to endure the "correction" phase, but in the most part it does the job.

Maybe you need to find a better job? I have had wage increases and bonus increases every year for the past three years.

Individual experiences may not apply to the vast majority of the economy.

It also depends on the industry you work, how well connected your company is, and how black or white it is.

Most of my friends (all Japanese, by the way) have never had a single wage increase since they were employed (Many of them have been working for 10 years or so).

Basically all those complaining bitterly about good economic news are those at the bottom working in unskilled jobs.

Not really, no. I'm actually thinking of leaving Japan because of how underpaid I am for what I do (Computer Vision R&D).

Not to mention that I've never had a single wage increase. All the "increases" I've had are because I changed jobs to a better paid one, but staying on the same job in this industry in Japan is carrier suicide.

A person's life is always in their own hands. This includes non-Japanese low wage earners who complain bitterly about life here, yet for some bizarre reason stay and swallow it

I'm starting to see this devolving into more of personal attacks. We are talking about the economy as a whole, not on particular cases, so stop going back to attack people calling them "low-skilled" as an insult.

I'm sorry to say this, but in a growing economy even low-skilled workers have salary rises.

Ah, so you're an English teacher with no other skills moaning that they haven't gotten a sweet, unlimited contract for teaching English. If your skills aren't increasing, why should you get more money?! An English teacher with a PhD is not better than an English teacher without a PhD.

Most English teachers in Japan don't even have a BA. In fact most native English teachers in Japan don't even have a brain.

I'm going to be honest. I also dislike English teachers in Japan, but this is just pure salt.

More great economic news! The anti-Japan crew is having another miserable day haha. Loss after loss, day after day

I truly wish you were right...

Just a few days ago I was talking with the CEO and CTO of my company about the economy in Japan, and they both agree that the future is kind of blink.

Unless you are a well connected company, chances are, regulations and taxes are going to kill your business.

9 ( +9 / -0 )

It is ridiculous for some to think that the economy has picked up because of abenomics which is completely false the reality for most families is despair cause of sharp increase in prices since Abe became pm, before u could get an apple for 98yen now the cheapest u can get is 158yen. Meat.fish,friuts. Vegetable have increased by about 40% in some cases even doubled.whereas salaries have stagnated with more than 40% making less than 3million yen a year. At this rate one doesn't need to be an economist to know that the economy will never pick up.

Those singing praise of Abenomics can u name just one item that has not seen an increase in price under Abe, even highway tolls rose dramatically.

You can laugh and mock others for not having special skills like you, don't forget that nobody knows what will happen tomorrow.

9 ( +11 / -2 )

Listen, you all know this is prelude to the 10% sales tax right? Enjoy.

8 ( +10 / -2 )

Some nasty comments, based solely on a few lines of text. Personally I like to meet someone then decide if their value is based on their position or their personality. From my experience things suck for Joe average. But that's my view, if the alternative is happy happy then good for you. Does not change the fact that child poverty is rising that 60% of the work force are on short term contracts. Couples can't afford to have children. Hallowed institutions are corrupt the governments best efforts are mear urges and this news is nothing more than propaganda.

3 ( +9 / -6 )

More great economic news! The anti-Japan crew is having another miserable day haha. Loss after loss, day after day

2 ( +12 / -10 )

 Wages rising.

Nope, see figures above. Also see here:

https://www.reuters.com/article/us-japan-companies/over-half-of-japan-firms-do-not-plan-base-pay-rise-this-year-idUSKCN1G3288

Record low childhood poverty rate

The last figures come from a 2015 survey released by the Health, Labor and Welfare Ministry which found that 13.9 percent of children under age 18, or 1 in every 7 children, were poor. The relative poverty rate was 2.4 percentage points lower than in the previous survey for 2012, when it was the worst ever, at 16.3 percent. But the latest figure is still higher than the 13.3 percent average among 36 countries, including OECD members. Especially, the poverty rate among single-parent households was as high as 50.8 percent.

Any comment? Also assume that any number coming from the Japanese government is almost always underestimating the reality.

-1 ( +9 / -10 )

Yeah sure go to say that to all people owning PhDs and working with contracted jobs for years without any wage increase

Ah, so you're an English teacher with no other skills moaning that they haven't gotten a sweet, unlimited contract for teaching English. If your skills aren't increasing, why should you get more money?! An English teacher with a PhD is not better than an English teacher without a PhD.

-2 ( +11 / -13 )

No it isn't. 

What? Quarter on quarter, 0.5% GDP growth rate, it's flat. You like or not.

Yes the GDP Growth Annualized increased to 1.90% in the second quarter of 2018 from -0.90 percent in the first quarter of 2018. But if you compare that number with the GDP Annual Growth Rate in Japan averaged from 1981 until 2018 which is 2.01%, then it does not look impressive at all, does it? This just shows that Abenomics has done nothing. Period.

0 ( +11 / -11 )

and yet I still carry the angst,,,

2 ( +5 / -3 )

As I keep saying Japan is on roll. GNP at 1.9% . Record low unemployment. Wages rising. Record low homeless. 5000 homeless in Japan whereas 7000 homeless in San Francisco! Record low childhood poverty rate. Record corporate profits.

1 ( +1 / -0 )

Maybe you need to find a better job? I have had wage increases and bonus increases every year for the past three years.

Let's instead look at facts here. From trading economics, wages in Japan averaged 321448.99 JPY/Month from 1970 until 2018, reaching an all time high of 883791 JPY/Month in December of 1997 and a record low of 52914 JPY/Month in February of 1970. Now compare the 1970 to 2018 figures to recent data. For example, average wages in Japan increased to 309902 JPY/Month in May from 309633 JPY/Month in April of 2018 (period excluding bonus). This is peanuts but the figures are even lower than the wages averaged on the period 1970-2018. There is no increase of wages whatsoever.

Well said. Basically all those complaining bitterly about good economic news are those at the bottom working in unskilled jobs.

Yeah sure go to say that to all people owning PhDs and working with contracted jobs for years without any wage increase, or the army of engineers in this country being paid miserably in comparison to western standards. And see also the average monthly salary figures above instead of making up non sense.

-1 ( +1 / -2 )

@daito_hak

"...0.5 percent quarter-on-quarter its basically flat."

No it isn't. As the article states, it's 1.9% annualized, which is pretty impressive given the fact the working age population is shrinking.

The negative comments concerning a positive trend come from people who years predicted, with a sense of great confidence, that Japan had only one way to go -- down. They'd rather stick to a false narrative than modify their views in the face of contradicting facts.

1 ( +11 / -10 )

@Cricky: A person's life is always in their own hands. This includes non-Japanese low wage earners who complain bitterly about life here, yet for some bizarre reason stay and swallow it

3 ( +13 / -10 )

Ganbare Japan!

*Dont listen to people who tell you Abenomics hasnt worked.  "Japan is back!" (PM Abe, 2013)*

Um, Abe's comment was FIVE YEARS ago.

Are you really sure the economic recovery is due to Abe or to a rabbit's foot or some other superstition?

Same thing really!

-1 ( +10 / -11 )

A persons life is not always within their control, education being shown how to improve their circumstances unfortunately not taught at school. My money works for me, and compared to other countries the returns are poultry. But I can have sent my children and now grandchildren overseas for education. They are lucky. I worry about the people who are not benifiting those working two jobs just to pay rent. That's my point. Or is empathy not on the agenda?

-1 ( +10 / -11 )

Actually I'm fine, but my children my friends they are working stupid hours for less than 200,000 a month. You should be thankful you have such a job. But don't forget the many who are not so blessed.

Whose fault is that?! Get some new skills.

2 ( +13 / -11 )

@kawabegawa198: Well said. Basically all those complaining bitterly about good economic news are those at the bottom working in unskilled jobs. They complain and whinge, but never make efforts to improve their embarrassing position. Wage increases are only for the productive

2 ( +13 / -11 )

Actually I'm fine, but my children my friends they are working stupid hours for less than 200,000 a month. You should be thankful you have such a job. But don't forget the many who are not so blessed.

1 ( +13 / -12 )

What salaries increase?

Wages stagnant

Maybe you need to find a better job? I have had wage increases and bonus increases every year for the past three years.

4 ( +8 / -4 )

When I read the headline I thought the gross GDP debt had magically been paid. Sadly no. Just increased while life style decreased, job security decrease, birth rate decrease, actual household spending quarter by quarter flat at best. Wages stagnant to the point of slipping in to a biomass sludge. Rampant corruption from the top down. But if I'm told happy happy joy joy....guess I have to comply resistance if futile.

0 ( +11 / -11 )

 huge booming Agriculture sector

Yeah sure thats why people still pay here ridiculous price for low quality fruits and vegetables. Yeah sure booming, in your dreams maybe.

*Thank you PM Abe and Kuroda-Sensei, *THANK-YOU!

You are close to be pathetic here. Thank you for what and in which regards Abenomics  has ever worked? You are basically living on your distorted world of nationalism. 0.5 percent quarter-on-quarter its basically flat, and this is following a shrinking previous quarter (during which you were not spreading your Abe love by the way). You speak of low unemployment but you seem to ignore the fact that almost 40% of the population is employed in unsecured, low rights and low paid jobs. Not mention that the employment rate figures in Japan are almost meaningless since anyone doing a few hours per week is consider employed.

What salaries increase? This is BS, only bonus haves slightly increased and its deceiving to associate increase of bonus and wages since wages did not in fact increase. Bonus are only seasonal and they fluctuate a lot. And the private consumption also does not show any solid increase besides again seasonal variations.

Japan is back? Where? The nation is aging, its not innovative, its corrupted, and its backward thinking.

3 ( +17 / -14 )

So we are finally back to the point prior to the recession created by the consumption tax hike of the 2014.

Now let's see how much times it takes to get back from next year's recession created by the new consumption tax hike.

5 ( +16 / -11 )

Abenomics is not perfect but still far better than DP's crazy austerity.

1 ( +14 / -13 )

Amazing figures! All figures are up - GDP almost 2%, business investment, private consumption, salaries. Not to mention huge tourist boom, record low unemployment, huge booming Agriculture sector (with biggest figures in history). Dont listen to people who tell you Abenomics hasnt worked. "Japan is back!" (PM Abe, 2013)

Thank you PM Abe and Kuroda-Sensei, THANK-YOU!

-10 ( +16 / -26 )

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