Thursday, 26th November 2009
In Business In Japan,
Japanese leader warns on 'double dip'
The Japanese prime minster has warned that the country may end up suffering from a double dip recession and said that "measures are required" to prevent this from occurring.
According to the Times, Yukio Hatoyama has spoken out about the problems with the Japanese economy but market analysts in the country have noted that the warning over a double dip recession may be a tactic by the leader to get his budget pushed through.
A double dip recession occurs when the gross domestic product of a country goes back into negative after experiencing a short time of positive growth.
After emerging from its deepest recession since the end of the second world war, Japan's economy is now in deflation but has seen some growth.
The Japanese economy has been hit hard by the global economic downturn, due to weakened demand for many of its biggest exports, such as electrical items like computers and mobile phones.
Written by Kimberley Homer.