Saturday, March 12, 2011

Earthquake might boost Japan's economy

Japan GDP almost stay flat since 90 century, this is because there is no major development in their industry and technology. However Japan now has to rebuild their industry, infrastructure and so on, in the indirect way, will boost up the demand of infrastructure, raw materials, construction and related industries.

Their government need to allocate many money on the rebuilding, hence will take back all the money from oversea. In short term, Japan GDP will decrease and many money will flow back to Japan. However after rebuilding, Japan's economy will start to re-boost again, just like year 1945, after Japan taste a US nuclear bomb. Japan was growing after rebuilding. So, I believe they can do so in this time also.

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Please note that all data given are merely blogger's opinion. It is strongly recommended that you do your own analysis and research before investing.