New formula gives Japanese growth a threefold boost

Herald staff

TOKYO — The Japanese economy grew nearly 1.4 percent last year, nearly three times the 0.5 percent announced previously, the government said Friday after recalculating the numbers using newer international standards.

The new method takes a broader look at the economy. For example, it classifies computer software development outsourced by companies as business investment and adds the depreciation costs of infrastructure such as dams to government spending.