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Japan
Publication year - 2021
Publication title -
economic outlook
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.1
H-Index - 8
eISSN - 1468-0319
pISSN - 0140-489X
DOI - 10.1111/1468-0319.12573
Subject(s) - citation , resilience (materials science) , government (linguistics) , consumption (sociology) , political science , economics , business , sociology , law , linguistics , social science , philosophy , physics , thermodynamics
High‐frequency data suggests the economy held up better in Q2 despite the state of emergency (SOE). The outlook for H2 remains bright, as private consumption should pick up due to progress in the vaccine rollout, and the continued resilience of foreign demand should provide support. Although the government reimposed a SOE on Tokyo, the economic impact of restrictions will likely be limited. We have updated our GDP growth forecast for 2021 to 2.6% from 3.0% previously, largely reflecting the weak figures in early spring, and expect 2.9% growth in 2022. However, the recovery is susceptible to health‐related risks, clouding the outlook for our brighter H2 expectations.