Japan's economic statistics are, by and large, rated highly for their diversity and accuracy. So it comes as no surprise that Japanese experts are helping developing countries improve their own statistical systems. Recently, however, that reputation seems to have been somewhat tarnished because of media speculation that the Economic Planning Agency might have juggled GDP figures as a result of political pressure.
In a preliminary GDP report for October-December 1999 released in May, the EPA gave its own estimate of financial-sector capital spending. Just several days later, however, it issued a correction replacing that estimate with an actual figure, which turned out to be far more negative. The media speculated that the initial May figure -- the one calculated by EPA economists -- might have been used to play down the steep drop in capital investment.
Confidence in the EPA also suffered in the spring of last year when there were rumors that key GDP figures might have been leaked in advance of the release of an official report. That time, however, the use of an estimated figure in the initial report, released one month before the general election, fueled speculation that the agency might have doctored an extremely negative actual figure to make it politically favorable to the government and the ruling parties.