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Economic Focus March 2014

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Report summary

Sales tax in Japan will rise on 1 April 2014 for the first time since 1997. The 3 percentage point increase will lift sales tax to 8%. As Japan's economy slows the question is whether this tax hike could push Japan back into recession? The last time sales tax was raised the economy fell into recession contracting 4 quarters out of the 6 quarters following the hike in which GDP suffered a 3% fall from peak to trough.

What's included

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  • Document

    Economic Focus March 2014

    PDF 470.53 KB

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Tables and charts

This report includes 6 images and tables including:

Images

  • Real GDP Growth (Quarter-on-Quarter %)
  • Leading indicators - PMI
  • Retail sales
  • Yen real trade weighted index
  • Gross government debt (% of GDP)
  • Demographic structure

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