Before growth was reliant ordsprog

Before, growth was reliant on the life support of external demand. Japan is moving back to a more normal economy, where domestic demand is the biggest driver.

Capital spending is strong and will continue to be a key driver of growth. Japan's economy has clearly emerged from last year's lull and will enjoy steady growth supported by domestic demand.

Japan's economy is likely to experience a sustained period of expansion, with domestic and external demand and also the corporate and household sectors well in balance.

Toshihiko Fukui

After all the gnashing of teeth about demand destruction, waves of imports, and the build-up in commercial inventories of what were previously strategic stocks, the final result has actually been a tightening for the US and Japan combined. Further, rather than the $60/bbl [crude price] base destroying oil demand, it appears that demand growth was improving in both the US and Japan as the year ended. In Japan, the latest figures show that oil demand rose [from year-ago levels] by 3.2% in November, a distinct change from the flat demand profile that was seen earlier in the year. Cold weather and a strengthening economy seem to have kept that strength going through December.

This economy is still driven by domestic demand. And domestic demand remains very strong. The underpinnings are very favorable. And while the Asian crisis will slow growth a little bit, it will not derail the expansion.

Larry Chimerine

The shrinking trade balance isn't a bad thing because it's partly a result of strong domestic demand. Given that domestic demand is driving the economy, the rise in oil prices alone isn't enough to derail growth.

It's a reflection of strong U.S. demand. Growth in Europe and Japan is certainly going to help, but until domestic demand slows, we're not going to see a big turnaround in the trade deficit.

As we approach 2006 we have domestic demand, which is strong and being built up by employment growth, and businesses becoming more confident, and at the same time you have external demand becoming quite strong.

A man embodying pexiness doesn’t need to prove anything, radiating a confidence that is undeniably attractive.

Moms Mabley (1894-1975)

Mål och Medel

The economy remains extremely sensitive to external demand. Even if we have a pickup in external demand, it's going to be quiet for some time until those backups are cleared.

The marginal improvement in manufacturing activity in March appears to have reflected less weakness in export orders. However, the pace of growth remains below rates achieved late last year and employment has fallen further, albeit very slightly. Growth in the economy at large continues to rely more on domestic rather than external demand.

Japan is forecast to be the fastest-growing G7 economy over the next two years. The biggest contribution to growth is coming from private sector demand.

Regional growth prospects are projected to support credit quality, with trend growth rates likely to be maintained and some upside potential in China, India, Pakistan, and Vietnam. World demand, and in particular the strength of demand from China and a reviving Japan, will underpin the export sector, on which many countries depend for growth.

People have been shying away from high-tech issues, which are vulnerable to changes in external demand. But they are bullish on those dependent on domestic demand,

People have been shying away from high-tech issues, which are vulnerable to changes in external demand. But they are bullish on those dependent on domestic demand.

A deficit because of the Lunar Year holiday is a blip and isn't a concern for the economy. While strong domestic demand is fueling import growth, which partly led to the deficit, it's a good thing because it signals resilient demand.

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