Although uncertainty regarding the world economy still exists, serious tail risks such as a potential disintegration of the euro have receded and the outlook for overseas economies has been on an improving trend. Reflecting these developments, firms are gradually beginning to enjoy an environment in which they can show their “animal spirits” – that is, their entrepreneurship – and carry out business fixed investment.
B.  Japan’s economy: showing some signs of picking up  In these circumstances, Japan’s economy has finally stopped weakening and has shown some signs of picking up. Overseas economies remain in a deceleration phase on the whole, but the U.S. and Chinese economies are heading toward a pick-up. In this situation, Japan’s exports have stopped decreasing.