Japan’s economy will eventually recover from the Tohoku-Pacific Ocean earthquake as the initial disruption to activity is replaced by a surge in spending on reconstruction. However, the boost to growth could be largely offset by the increases in taxes and reductions in other expenditure needed to pay for the reconstruction work. The chances of a substantial boost are therefore slim.
Subscriber content
Read this in full, free
Start a free trial and use one of your 10 free starter credits to unlock this piece.