The Cabinet Office's January Economy Watchers Survey, which asks working people how they feel about the economy, found that an index that indicates the current state of the economy has deteriorated for three consecutive months against the backdrop of soaring prices and rising utility costs.
This survey asks more than 2,000 working people how they feel about the economy compared to three months ago, and uses it as an index.
The latest survey was conducted from January 25 to the end of the month, and the index showing the current state of the economy was 48.5, down 0.2 points from the previous month and worsening for three consecutive months.
This is due to soaring prices, rising utility costs, and the impact of record-breaking cold weather in some areas.
In the survey, a department store in Hokkaido commented, "Due to high prices, people are becoming more thrifty, and there is a noticeable reluctance to buy." However, there are also price increases of more than 40% twice a year.
On the other hand, the index showing the economic outlook two to three months ahead increased by 2.5 points from the previous month to 49.3, improving for two consecutive months.
Based on the results of the survey, the Cabinet Office maintained its basic judgment that "the economy is showing signs of recovery."
Regarding the outlook for the future, it said, "Despite concerns about the impact of rising prices, there are expectations for a recovery."