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Japan unemployment coming down [ClearOnMoney]
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Japan unemployment coming down

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Commentary

Japan unemployment coming down

5 Nov 2011 by Jim Fickett.

At the end of last month Japan's Statistics Bureau reported unemployment through September. The situation is complex but the short story is that the unemployment rate has been improving the last few months, which is obviously good news for the economy.

The after-effects of the earthquake complicate the interpretation of the figures. From March to August the three hardest-hit prefectures were not included at all in the unemployment calculation. In September they were once again included but, given that the labor force shrank drastically over those months, probably all the people who are still displaced from their ruined homes are considered as outside the labor force, and so are not being counted as unemployed.

Obviously, the large number of displaced people remains a major problem for the country. Nevertheless, it is still good news that, even with drastically reduced electrical supply and other disruptions, the unemployment rate continues to come down nationally.