:00:00. > :00:17.`` three years ago are. Those are the latest headlines. Time
:00:18. > :00:25.for the money news. Good`bye, recession. Confirmation
:00:26. > :00:29.that the Spanish economy is growing slightly.
:00:30. > :00:34.Addicted to the multibillion dollars stimulus, sure markets rally as
:00:35. > :00:40.traders expect no change in policy as the US central bank holds its
:00:41. > :00:47.monthly meeting. `` share markets.
:00:48. > :00:53.Welcome to World Business Report. Also in the programme, smoking is
:00:54. > :00:57.going out of fashion in Japan. We will have the details. But first of
:00:58. > :01:02.all, after two years of shrinking wealth, officials will confirm that
:01:03. > :01:09.Spain is out of recession. Just buy a touch. Spain's National statistics
:01:10. > :01:12.agency is due to confirm what estimates from the bank of Spain
:01:13. > :01:20.suggested last week, that the economy grew by 0.1% in the three
:01:21. > :01:24.months ending in September. Spanish friends are selling workers overseas
:01:25. > :01:27.and money are starting to flow back into the country. But very few would
:01:28. > :01:40.know people are feeling the benefits. `` ordinary. Many families
:01:41. > :01:48.remain strapped for cash. Spain's economy is finally growing
:01:49. > :01:52.again. Sales are even recovering at this company in Madrid, which
:01:53. > :01:59.depends on construction. They make cupboard doors. The man who owns
:02:00. > :02:04.this and my other businesses in the area believes that consumer
:02:05. > :02:11.confidence is returning, but some problems remain. `` nine. In Spain
:02:12. > :02:20.the most important problem we have is the credit. Banks are better than
:02:21. > :02:29.before, but credit is stopping. They are still nervous? Yes. Everybody
:02:30. > :02:34.needs to know that we have money to spend in projects and enterprise. At
:02:35. > :02:40.the moment it is difficult to receive credit. At the problems
:02:41. > :02:46.caused by excessive lending in the past are still being cleaned up.
:02:47. > :02:50.This is a town that became a symbol of Spain's economic crisis.
:02:51. > :02:55.Thousands of apartments were built which initially few people bought.
:02:56. > :02:58.But after the boom in the past, property prices were slashed. In the
:02:59. > :03:04.past few months, many people have moved in. Perhaps a tentative signs
:03:05. > :03:13.that Spain's economy is on the road to recovery. But the road is very
:03:14. > :03:19.long. These buildings have been passed from banks to a so`called bad
:03:20. > :03:28.bank. There are still hundreds of thousands of properties as toxic
:03:29. > :03:32.assets to be sold off. And for all the positive talk about Spain posit
:03:33. > :03:37.economy, the reality for many Spaniards is very different. ``
:03:38. > :03:44.spend's economy. This man still lives with his mother and has been
:03:45. > :03:49.unemployed for five years. It is just macroeconomic data, he tells
:03:50. > :03:52.us. Spanish exports may have improved, but wages are down, prices
:03:53. > :04:03.are up and people are consuming less. The spend's economy might be
:04:04. > :04:10.out of recession, there are several reasons to celebrate. But
:04:11. > :04:18.unemployment is still skyhigh. It is not game over for spend's economic
:04:19. > :04:22.crisis just yet. What a difference a few weeks can
:04:23. > :04:27.make. Last month most people thought the US central bank was going to
:04:28. > :04:30.reduce emergency funding. But after the damaging government shut and
:04:31. > :04:35.disappointing having figures from US firms, the economy looks
:04:36. > :04:38.substantially weaker than it did before. The Federal reserve will
:04:39. > :04:45.announce its policy decision later today. It is expected to post a
:04:46. > :04:51.possibly fatal move to stimulus measures. The world's three major
:04:52. > :05:02.central banks flooding the market with cheap market leaseback ``
:05:03. > :05:06.money. It was first introduced by the bank
:05:07. > :05:12.of Japan. It continued for five years. Until its recent recovery,
:05:13. > :05:19.Japan's economy had been stuck in what became known as a lost decade.
:05:20. > :05:26.Did it actually work? I do not think it worked in Japan. It was supposed
:05:27. > :05:31.to turn deflation into inflation. That did not happen. You cannot see
:05:32. > :05:39.any difference in deflation rates. You do not seek differences in the
:05:40. > :05:46.growth rate of the economy. It is as it if it never happened. But the
:05:47. > :05:50.purpose of the policy in the US was different. It was used as a last
:05:51. > :05:55.resort to get the credit market working again. Its aim was to
:05:56. > :06:05.prevent the US economy from falling into a series of depression like the
:06:06. > :06:08.1930s. In the heart of Manhattan, America's economy may seem vibrant.
:06:09. > :06:12.That is partly thanks to all the stimulus measures. But there is fear
:06:13. > :06:20.the United States is following the same path as Japan. And withdrawing
:06:21. > :06:27.all that cheap money is not them carefully, it could destroy the
:06:28. > :06:31.recent growth. If they can hit the side of a bind, then the bulls eye
:06:32. > :06:36.just be close. It will not be the end of the world. On the other
:06:37. > :06:41.hand, the expectation that they will completely mess it up, that they
:06:42. > :06:47.could not fall out of a boat and Pittwater, think that is a gross
:06:48. > :06:51.exaggeration. Then bring a key was the man who started the experiment
:06:52. > :06:56.in the United States. He will be the one to end it. For his likely
:06:57. > :07:05.successor, it may prove to be a more challenging task.
:07:06. > :07:09.Now a look at the impact that is having on markets at the end of the
:07:10. > :07:20.show. But tobacco shares in Japan are climbing to date after setting
:07:21. > :07:28.to close several factories. What is happening? Are the Japanese giving
:07:29. > :07:31.up on smoking? That is one reason. The maker of international brands
:07:32. > :07:37.western and camel is also blaming the declining demand to the
:07:38. > :07:41.country's shrinking population. According to the company, the ratio
:07:42. > :07:46.of smokers in Japan fell by 4% over the past four years. The once huge
:07:47. > :07:55.number of smokers continues to shrink. Another issue is the sales
:07:56. > :08:04.stats. This is expected to hurt sales even further. `` sales tax.
:08:05. > :08:12.1600 jobs have been cut and four out of nine factories were closed. It
:08:13. > :08:17.will be focusing on overseas sales. 48% of its total sales in the last
:08:18. > :08:24.fiscal year came from the overseas numbers. Other segments such as food
:08:25. > :08:38.and medical products will also be capped. And before you go, tell us
:08:39. > :08:45.about the recall? More than 100,000 are being recalled. This will
:08:46. > :08:51.address potential brake problems. This is the fourth automaker recall
:08:52. > :08:58.in Visio. It follows the Genesis model last week due to the same
:08:59. > :09:08.issue. Last month you had here and they. They said that they were
:09:09. > :09:17.recalling about 660,000 details. `` vehicles. Problems for the top
:09:18. > :09:20.automakers. Thank you very much. Very interesting. Time to have a
:09:21. > :09:26.look at the markets. A busy day for corporate stories.
:09:27. > :09:34.Also, China's state owned oil company posted a 20% rise in
:09:35. > :09:42.profits. Markets are much higher. There are positive ahead of the
:09:43. > :09:45.Federal reserve meeting. Those are the markets. The dollar
:09:46. > :10:01.will be very sensitive today. See you soon.
:10:02. > :10:05.The number of long`term unemployed young people in the UK is the
:10:06. > :10:12.highest it has been for nearly 20 years. It is more than quadrupled in
:10:13. > :10:16.the last decade. There is warning that without urgent investment from
:10:17. > :10:17.the government, tens of thousands are in danger of