The nation's economy continued its slow pace of growth during the July-September period as gross domestic product expanded a seasonally adjusted 0.2 percent, the Economic Planning Agency said Monday.

That translates into an annualized rate of 1 percent, with business investment the sole source of growth.

Government investment fell and consumer spending remained unchanged, fueling worries that the pendulum may be about to swing back on Japan's on-again, off-again economy as the effects of public works spending fade.