A tricky question has been keeping economists busy of late: Are Japanese consumers finally beginning to loosen their purse strings?
As far as recent economic data show, the answer may be yes — at least for now. Private consumption, accounting for nearly 60 percent of Japan's economy, rose 0.9 percent in the April-June period in real terms following five quarters of modest growth at between 0.1 percent and 0.4 percent. It's an encouraging sign of strengthening domestic demand.
Sales of durable goods, ranging from cars to electronic appliances, have been picking up, while consumer sentiment has been aided by stabilizing prices for fresh food.