TOKYO, Oct. 8 (Xinhua) -- Japan's household spending decreased 1.9 percent year on year in inflation-adjusted real terms in August as a series of typhoons and emergency information regarding the earthquake affected consumption, government data showed Tuesday.
Households of two or more people spent an average of 297,487 yen (about 2,014.6 U.S. dollars) in August, the first decline in two months, according to the Ministry of Internal Affairs and Communications.
The ministry attributed the decline to the effects of typhoons and emergency warnings about the earthquake, which led to the closure of car dealerships and resulted in a 17.1 percent drop in transportation and communication expenses.
Spending on recreation and entertainment, including travel-related expenses, also fell 6.9 percent.
Household spending on utilities dropped 2.4 percent, while food spending increased 2.6 percent, partly due to more people eating out in response to the typhoons and rising rice prices.
For more than half of Japan's gross domestic product, household spending is a key gauge of private consumption in the country. ■
