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submitted 9 months ago by MicroWave@lemmy.world to c/news@lemmy.world

Fall in rank below Germany has been attributed to a weak yen and country’s ageing, shrinking population

Japan has been eclipsed by Germany as the world’s third-biggest economy and has slipped into recession, according to data released Thursday, as the country battles a weak yen and an ageing, shrinking population.

Japan’s economy, now the world’s fourth-biggest, grew 1.9% in 2023 in nominal terms – meaning it is not adjusted for inflation – but in dollar terms its gross domestic product (GDP) stood at $4.2tn compared with $4.5tn for Germany.

The shift, coming more than a decade after it ceded second place to China, has been attributed to the yen’s sharp falls against the dollar over the past two years. A weaker yen eats into profits on exports when earnings are repatriated. The Japanese currency dropped by almost a fifth against the US dollar in 2022 and 2023, including a 7% fall last year.

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[-] girlfreddy@lemmy.ca 15 points 9 months ago

Seems like we're headed for another recession, with the UK, Japan and likely China leading the pack.

Awesome. :(

[-] Kaliax@lemmy.world 6 points 9 months ago

The 20's are NOT roaring the way I had hoped... so far... fuck.

[-] moistclump@lemmy.world 4 points 9 months ago

This century’s coughing, sputtering 20s.

[-] HurlingDurling@lemmy.world 2 points 9 months ago

The US is in it as well. Those articles about it being a soft landing seem to be bullshit as they always come out right before a recession to try to keep the population spending

this post was submitted on 15 Feb 2024
121 points (94.8% liked)

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