The key factors we should keep in mind in projecting future developments in the Japanese economy are therefore the progress in the structural adjustment of industries, that is, the emergence of new products or industries that will promote future economic growth. A careful look at individual industries reveals some positive signs.
While its contribution in relative terms is not as sizeable as that from the traditional manufacturing industries, this, however, should come as little consolation, as in absolute terms, labour productivity growth in these services industries has remained subdued.