Japan's economy - Rashed Buhumaid

Since 2009, Japan was trying to work on recovering it’s economy and especially on its business cycle, but the aspects that were slowing that kind of achievement for Japan’s economy are the slowdown and problems that other economies were facing that affected Japan’s economy and slowed its recovery down, for an example the debt crisis that is occurring in not just one European country but several, and this creates a lot risks and concerns for Japan and how might problems there affect their economy. In terms of the inflation they are doing well since they have 0.3% of inflation and it’s good since they are keeping it under the 5% at least and when comparing it to some other countries, also considering the decline of the CPI, Consumer Price Index, in the last 5 years and expected to decline more which shows they are doing well in terms of stable prices. When considering the unemployment rate it’s estimated a number of 4.3% and it’s reported that Japan is controlling that number and its improving after it was above 5% in 2010. Low spending of Japan’s consumers and they weren’t that good in terms of their exports resulted lately to affect Japan’s economy which had a slow improvement in terms of the growth of the economy since it only grew by 0.3% in the second quarter of 2012.