A domestic survey of 106 major companies has found that 100 expect the economy to expand toward year-end, and that 76 do not oppose the government's plan to complete the doubling of the sales tax to 10 percent in 2015, a poll says.
Although the economy plunged in the April-June quarter after the 3-point consumption tax hike to 8 percent on April 1, 92 of the companies polled said they believe the slump in consumer spending will dissipate by the end of the year.
The survey, conducted by Kyodo News between mid-July and early August, said Saturday that many of the firms are upbeat on the outlook for the economy but are also expecting the government to draft and execute policies that can guide Japan back toward stable growth.