A monthly governmental survey of the economic views of retail workers showed new levels of pessimism in February, the Cabinet Office said Tuesday.
The outlook of taxi drivers, waiters, hotel clerks and others fell to 39.6 in February, compared with 41.5 in January.
It was the lowest reading since January 2000, when the surveys began, and the second straight month below 50.
Respondents rate on a five-point scale whether they believe the economy is improving or worsening compared with three months earlier.
The readings -- 39.9 for household spending, 37.4 for corporate activity and 42 for employment -- were all record lows.
What's more, all three indexes stayed below 50 for the third month.
Respondents reported that they have seen orders decrease and that prices remain low.
"The earnings of electric components makers are declining, hit by the deceleration of the U.S. economy," said one worker at a ceramic products maker in the Chugoku region.
The index gauging views on the economy two to three months down the road also turned downward in February, from 46.7 in January to 45.3, the Cabinet Office said.
Respondents cited sluggishness in prices and capital investment as well as slowing orders as reasons for their pessimism.
The office conducted the poll in February on 1,500 workers in 11 areas across Japan, of whom 1,370, or 91.3 percent, responded.
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