A: Hey, what's up?
B: Not much, just chilling. What's new with you?
A: Well, the government dropped a new report about the economy! They say we're finally getting out of deflation that's been bothering us for over 20 years!
B: Really? That sounds great! What else did they mention?
A: This year's labor talks led to the biggest wage hikes in 34 years! And businesses are passing on these higher costs with product price increases. But...
B: But what, it can't be all good news?
A: Yep, they warn that we could slip back into deflation because wages aren't rising fast enough to keep up with inflation. Plus, US tariffs might be a new threat and slow down growth.
B: Oh no, I hope everything works out!
A: The government says they need to work more on balancing efforts to boost the economy and maintain fiscal health. And get this, supplementary budgets for the past 5 years totaled over 1.1 trillion dollars!
----------------
The government says price increases show Japan is clearly not in the deflation that plagued the economy for more than 20 years. However, it says US tariffs are a new threat and may drag on growth.
The government on Tuesday released its annual white paper on the economy and public finance for the current fiscal year through March.
The document says the virtuous cycle of prices and wages rising together is starting to take root.
It points out that this year's spring labor talks led to the biggest wage hikes in 34 years and businesses are passing on higher costs in product prices.
But the paper warns the economy could slip back into deflation because wages are not rising fast enough to keep up with inflation and US tariffs add a new risk.
The white paper says further work is needed to balance efforts to revitalize the economy with fiscal health.
It says supplementary budgets for the past five fiscal years totaled about 170 trillion yen, or more than 1.1 trillion dollars.
----------------
Quiz 1:
The government says Japan is no longer experiencing deflation that affected the economy for more than 2 years. According to the article, how many years was Japan in deflation?
A. More than 30 years
B. More than 20 years
C. Less than 20 years
D. Unknown
Quiz 2:
The document released by the government is titled:
A. Annual white paper on economy and public finance for the current fiscal year through March
B. Spring labor talks report
C. Fiscal health overview
D. Wage hikes analysis
Quiz 3:
The paper warns that Japan could slip back into deflation because wages are not rising:
A. Fast enough to keep up with inflation
B. Slowly enough to keep up with inflation
C. Not at all related to inflation
D. Too quickly for inflation
B: Not much, just chilling. What's new with you?
A: Well, the government dropped a new report about the economy! They say we're finally getting out of deflation that's been bothering us for over 20 years!
B: Really? That sounds great! What else did they mention?
A: This year's labor talks led to the biggest wage hikes in 34 years! And businesses are passing on these higher costs with product price increases. But...
B: But what, it can't be all good news?
A: Yep, they warn that we could slip back into deflation because wages aren't rising fast enough to keep up with inflation. Plus, US tariffs might be a new threat and slow down growth.
B: Oh no, I hope everything works out!
A: The government says they need to work more on balancing efforts to boost the economy and maintain fiscal health. And get this, supplementary budgets for the past 5 years totaled over 1.1 trillion dollars!
----------------
The government says price increases show Japan is clearly not in the deflation that plagued the economy for more than 20 years. However, it says US tariffs are a new threat and may drag on growth.
The government on Tuesday released its annual white paper on the economy and public finance for the current fiscal year through March.
The document says the virtuous cycle of prices and wages rising together is starting to take root.
It points out that this year's spring labor talks led to the biggest wage hikes in 34 years and businesses are passing on higher costs in product prices.
But the paper warns the economy could slip back into deflation because wages are not rising fast enough to keep up with inflation and US tariffs add a new risk.
The white paper says further work is needed to balance efforts to revitalize the economy with fiscal health.
It says supplementary budgets for the past five fiscal years totaled about 170 trillion yen, or more than 1.1 trillion dollars.
----------------
Quiz 1:
The government says Japan is no longer experiencing deflation that affected the economy for more than 2 years. According to the article, how many years was Japan in deflation?
A. More than 30 years
B. More than 20 years
C. Less than 20 years
D. Unknown
Quiz 2:
The document released by the government is titled:
A. Annual white paper on economy and public finance for the current fiscal year through March
B. Spring labor talks report
C. Fiscal health overview
D. Wage hikes analysis
Quiz 3:
The paper warns that Japan could slip back into deflation because wages are not rising:
A. Fast enough to keep up with inflation
B. Slowly enough to keep up with inflation
C. Not at all related to inflation
D. Too quickly for inflation
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Japan seeks permanent exit from deflation
Corporations in Japan spending less on labor
Summary
Government report indicates Japan has exited deflation after 20 years, due to price increases. However, US tariffs pose a risk and could slow growth. The report highlights the largest wage hikes in 34 years but warns that wages aren't keeping pace with inflation, which may lead to a slide back
Statistics
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ID: ed11e185-def7-4d27-b181-d3dcd8399c77
Category ID: nhk
URL: https://www3.nhk.or.jp/nhkworld/en/news/20250729_B3/
Created: 2025/07/30 07:03
Updated: 2025/12/08 03:10
Last Read: 2025/07/30 07:48