It is also unclear how those who have built up additional savings will use them: will they treat them as wealth to be spent slowly over time or as funds that can be used to support spending this year and next? This all means that there are still significant uncertainties regarding how household spending will evolve and we are watching the indicators very closely.
Bank of Japan’s December report of recent economic and financial developments1 Bank of Japan, 18 December 2002 *  *  *  The Bank’s View2 Japan’s economy has stabilized as a whole, but there is still substantial uncertainty toward recovery.