TOKYO: Japan’s economy shrank far more than expected in the three months to September, as a surge in virus cases hit spending and supply chain issues hampered business, data showed Monday. The world’s third largest economy shrank 0.8% quarter-on-quarter, much worse than the 0.2% economists had forecast. The contraction was driven in part by a 1.2% dip in household consumption that tracked the imposition of a virus state of emergency over the summer, when Japan saw its worst-ever Covid surge. Also weighing heavily was a drop in non-residential investment, which plunged 3.8% on a chip shortage a…