Like France and Germany, Japan has broken out of recession after the economy returned to growth in the second quarter. Gross domestic product grew 0.9 per cent quarter on quarter, which would be a health 3.7 per cent on an annualised basis.
Some of that was provided by Japanese government expenditure, because public investment expanded 8.1 per cent in the quarter, but exports were also robust, growing 6.3 per cent in the period and Japanese domestic consumption grew by 0.8 per cent.
So where were those exports going? Certainly not to the UK, where despite rolling the printing presses to the tune of 11% of GDP through quantitative easing, the economy remains in decline.
Should we expect a redefinition of recession or GDP growth?