Japan is escaping deflation, the government said on Friday as data showing rising prices, falling unemployment, higher incomes and factory activity gathering momentum pointed to an ongoing recovery in the world's third-largest economy.
Prime Minister Shinzo Abe and the Bank of Japan have gambled on massive fiscal and monetary stimulus to spark life into the economy, and the accumulating signs of an upswing are seen strengthening the case for a planned sales tax increase.
Friday's data painted a brightening picture for a country seeking to escape 15 years of debilitating deflation: core consumer prices posted their biggest rise in nearly five years, unemployment fell to its lowest since late 2008, factory output rose and is expected to rise further, and workers' incomes rose.
"Japan is escaping from deflation," Economics Ministers Akira Amari told reporters.
Pessimists have argued that the benefits of "Abenomics," a three-pillar strategy of fiscal and monetary stimulus combined with a long-term growth strategy, may be short-lived and won't prompt companies to spend more on investment and wages.
And while the rise in prices has been driven largely by higher electricity bills and a weaker yen that has pushed up import costs, the job market strength and rising incomes bode well for personal consumption, which has been a key driver of the recovery.
A man was found dead after being run over by a car on a road in Mooka, Tochigi Prefecture, but police said Tuesday that he may have already been dead after being hit by another car earlier. (Japan Today)
The Osaka District Public Prosecutor's Office has filed charges of drug trafficking against a 40-year-old woman who left a large quantity of illegal drugs inside a fast-food outlet, reports the Asahi Shimbun (April 30). (Tokyo Reporter)
An increasing number of people are using the "furusato nozei" hometown donation program to support Kumamoto Prefecture, southwestern Japan, which has been hit hard by a recent series of strong earthquakes. (Jiji Press)