The Japanese Cabinet Office released figures Monday saying the economys demand exceeded supply by 3.8 trillion yen for the October through December period of 2005.
Japanese economy had been continuously over-supplied since the January though March period of 1997, the figure means that demand outstripped supply for the first time in eight years, a Mizuho Corporate Bank, Ltd spokesman said.
As a positive GDP (output) gap indicates that economy is under the condition in which prices may go up, it might affect the future interest rate policy of Bank of Japan.