In 2004 property prices again rose sharply with respect to the previous year; in the third quarter their increase outpaced that in consumer prices by 19 percentage points in the United Kingdom, 10 points in the United States, and 13 points in France and Spain.
While we are intrinsically aware of the severe competitive environment surrounding firms, we expect that wages will increase, supported by improving corporate profits, and also by initiatives pursued through cooperation among the government, workers, and employers. Another important point in considering the future of domestic demand is the developments in business fixed investment in the corporate sector.