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The wave of price increases is gradually spreading through the economy, but companies can only pass on part of those costs because demand remains weak.
Monday 16th June, 05:18 AM JST
Yoshimasa Maruyama, a senior economist at BNP Paribas SA in Tokyo, responding to the rise in the wholesale inflation rate. Producer prices rose 4.9% this year and in May they reached a 27-year high. (Bloomberg)
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2 Comments
westurn at 12:40 PM JST - 17th June
Demand is weak because you are not offering consumers what they want ! I had a BBQ this past weekend and served American steaks and burgers I got at Costco. While I was there I couldn't help but notice (A) how quickly these beef products were being sold, and (B) how succesful Costco is in relation to other stores in Japan. I have argued vehemently for more importing by Japan... yet they fail to do so, at the risk of their own economy. So be it ! Hard to sympathize with a nation that insists on cutting off its nose to spite its face.
capone at 06:45 PM JST - 17th June
an intelligent, realistic remark about economics coming from japan...never thought i'd see the day
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