The Japanese government -- which for the past three months has been vigorously denying that the term 'inflation' can be applied to Japan's economy -- has now released figures which show an increase of 29% in the Wholesale Price Index for the year of 1973.
WOMEN ???PING FOR CLOTHES ???T ???LE: FOODSTRE ??? CON??? BEEF: COSTS GBP 15 rpt .15) ???
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Background: The Japanese government -- which for the past three months has been vigorously denying that the term 'inflation' can be applied to Japan's economy -- has now released figures which show an increase of 29% in the Wholesale Price Index for the year of 1973. This increase compares with a 1.3% rise in the Wholesale. Index from 1963 to 1972.
Retail spices have also risen 19.1% from January 1973. This compares with:
Economists predict that the retail index will within two or three months catch up with the wholesale Index figure, and that by April the Japanese shopper will catch the full impact of increasing production costs.
Using various pretexts, real or otherwise, manufacturers and wholesalers have since the November oil-crisis already drastically increased retail prices. Due to 1972 and 1973 stockpiling, cotton and wool clothing has not increased. The plenitude of such natural fabrics has also reflected on the price of petrol and carbon-based fabrics such as nylon, and their prices have also been kept down.
A worldwide pulp shortage has reflected badly??? A shortage of wrapping paper has according to some sources ???duced the amount ???bage collected daily in Tokyo by ???. Toilet-pane ???peared from shop shelves for nearly two months -- when they came back again the price has increased by 189.5% (all %age prices based on January 1973 to January 1974). Four rolls cost ??? 240 now. ($0.80 GBP 0.37). Notebooks increased 103%.
Raw materials have been hardest hit by the rising oil-prices and resulting electricity shortages. But food has seen the biggest jump. Some examples:
(Household nails: 232.6%.
Recent government action has attempted to hold down the prices of basic commodities such as rice -- at the cost of heavy subsidies.
Rising Liquid Propane Gas (LPG) and oil prices have reflected on transport costs. Government control has so far delayed a rise in rail costs, but taxi-fares increased by 29% on 29th January 1974. Hire-cars and used only by companies in Japan, and companies refuse to divulge exact figures, saving that prices depend on the size of the company and the expense-account. (The same goes for restaurants-- who refuse even to be filmed). An unnoffical canvass produced following hire-car figures. (costs as of now): 10,000 yen for four hours plus ???230 per kilometre. (GBP 15/333) (270-???35/???.76). That's an increase ??? 20%.