The
tightening trend of labor market conditions is becoming clearer: the active job
openings-to-applicants ratio has been 1.30 times recently, marking the highest level seen
since 1991, and the unemployment rate has declined to 3.2 percent, which is the lowest
level seen since 1997 (Chart 2). A perception of labor shortage suggested by the
employment conditions DI in the March Tankan has heightened further, which can be
regarded as full employment. The major feature of recent economic activity is that labor
market conditions continue to tighten despite the sluggishness observed in exports and
production.