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 Japan back in recession as earthquake cuts consumption

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RR Phantom

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Japan back in recession as earthquake cuts consumption Vide
PostSubject: Japan back in recession as earthquake cuts consumption   Japan back in recession as earthquake cuts consumption Icon_minitimeWed May 18, 2011 11:45 pm
Japan, the world's third largest economy, contracted sharply in the first three months of the year, after a tsunami and earthquake caused devastation in March.

Gross domestic product (GDP) shrank 0.9% in the first quarter, the Cabinet office said. That meant the annualised rate of contraction is 3.7%.

Japan is now in recession, after two consecutive quarters of decline.

Analysts say consumption and exports were worst hit.

The contraction was bigger than expected with most forecasts of the annualised rate at around 2%.

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