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Japan's policymakers brace for 4th-quarter GDP slump, growing coronavirus risks

By Leika Kihara

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Perhaps if companies increased wages, their employees would be more productive, and GDP would increase. As is stands, the productivity of Japanese workers is below that of most other industrial countries, before you even consider the amount of free overtime they work that isn't included in those statistics.

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If a virus which was hardly on the radar and had negligible effect until January, can cause a 3.7% shrinkage in annualized GDP for the Oct-Dec quarter, how much worse will the Jan-March figure be, coinciding as it does with the full effects of the virus on the tourism dependent economy. It’s going to be at least 3x, if not more. Hang on to your hats people, we’re in for a ride.

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Excuses, excuses and excuses.

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