Japan economy shrinks in Q3 - Economist

The results of the Japanese economy were announced during the third quarter of 2021, as the economy contracted by 3.6% on an annual basis and 0.9% on a quarterly basis, due to a decline in per capita consumption, which constitutes one of the basics of the equation for calculating the GDP of countries.

In the same context, we find that per capita consumption decreased by 1.3%, due to the decrease in spending on durable goods and services with the developments of the Corona pandemic.

It is reported that per capita consumption constitutes about half of Japan's GDP, and therefore it is a very important factor in the strengthening and continued growth of economic activity.

We must also mention that there are many economies that will shrink during the coming period due to the emergence of the Omicron mutant, which may require closures of the economy, as happened before in some countries.