Israel's Roaring Economy

2011

Israel, established in 1948 and presently (2011) with a population of 7.75 million, has been known at least since 1967 as a strong military power. In the last decade it gained renown for strong economic performance as well and especially for leadership in hi tech research and development. Israel recently joined the prestigious "rich countries club," the Organization for Economic Cooperation and Development (OECD). With a GDP per capita of $29,500 (PPP) in 2009, it ranked 24 out of 34 OECD members. But it ranked higher 15 out of 169 countries (in 2010) on the United Nations Human Development Index, which takes into account not only economic performance but also performance in the fields of health, education and gender equality. It commands advanced technologies – it has several civilian and military satellites circling Earth. Internationally, it enjoys a strong alliance with the United States and preferential treatment by several EU countries.

Economic Research Forum, 2024

This working paper delves into reflections on the future prospects of the Palestinian cause, particularly concerning the economic landscape, starting from ‘Day One’ after the aggression. It starts from the premise of the impossibility for returning to the pre-war status quo, emphasizing the impracticability and unsustainability of reverting to previous political and economic paradigms in light of the damage caused by the Israeli aggression. The paper starts by presenting a condense review of the Palestinian economy prior to October, highlighting its key features, obstacles, and shortcomings. Subsequently, it introduces Israeli mechanisms strategies employed during warfare, with a focus on two key mechanisms used in the Gaza Strip; weaponizing starvation, and migration as a tool of war, alongside Israeli policies in the West Bank. The historical use of these policies and mechanisms is briefly presented, followed by a presentation of their use in the current aggression and key indicators of their impact. A thorough, detailed account of the effect of the aggression on the Gaza Strip, West Bank, and East Jerusalem is then presented using analysis of initial data of socioeconomic indicators from various sources. The paper’s framework discusses the inability of ‘reconstruction’ or a return to pre-October status quo given the high level of destruction not just within the context of the aggression, but prior as well. As such, the paper proceeds to a discussion on future needs, requirements, and challenges in the political, social, and economic realms on the national, regional, and internal levels. The section discusses frameworks of moving forward given political developments in different arenas, in tackling three main preoccupations: the task of attending to the vast humanitarian needs, ruble removal including of bodies underneath and assessing stability of buildings and utilities, and Israel’s previous obligations towards the Palestinian economy and territory. In light of the profound infrastructural damage and losses incurred since 1948, further exacerbated by the current aggression, coupled with the acute humanitarian needs not just now, but for a sustainable and viable future for Palestine and its economy, the paper concludes by positing the pivotal question of “who should pay?” This question underscores the enormity of the daunting and unpredictable challenge in "compensating" for the destruction and "reviving" a suffering populace is dauntingly unpredictable.

Israel Affairs, 2024

This paper examines the short- and potential long-term economic costs and benefits to Israel from its war with Hamas and Hezbollah that began in October 2023. As of October 2024, Israel’s economy has not returned to its pre-war level of output, and Israel’s government’s debt is increasing to pay for the war. The long run effect of the war will depend on its outcome, but there is potential for a very negative economic effect since the war might cause or contribute to a brain drain of young and talented Israelis. Israel is very vulnerable to a brain drain since it has many high-tech workers who have a comparatively easier time in re-locating to new countries than other workers since with their skills, they should be able to find well-paying jobs in other countries.

Israel Affairs, 2018

2002

An analysis of the political economy of Israel during the 1990s.

Israel Affairs, 2005

People who live in Israel say there is never adull moment; we always have action. Indeed, people yearn for some tranquility,for some peace of mind. This collection shows that life in Israel will continue to be interesting and challenging. Israel is ayoung democracy.Itisstill in the process of development and undoubtedly it will face further tests. The key factor for its success is its relationships with its neighbours. Security expenses exhaust at hird of Israel'sbudget, leaving insufficient resources for the development of other spheres. The constant security threat destroys the tourism industry and preempts external investments essential for economic growth. Unemployment continues to rise. Salaries are going down in real terms. Welfare benefits are cut. Taxes are high and continue to rise. Israel has the highest rate of taxes in the world, outside Scandinavia. During the past decade many industries and services were regressing, or closing down. High-tech industries experience what the rest of the world is experiencing. The only

Digest of Middle East Studies, 1995

Economics and Business Review, 2020

The Israeli economy in the first two decades of the 21st century is an example of an economic transformation that may serve as a role model for addressing many challenges to economic growth. Data from this period have shown significant developments in economic growth over this relatively short period of time and indicate that these advances are attributable to policies targeting inflation, labor force participation and education. While challenges remain-including economic inequality, suboptimal health care and the threat of coronavirus pandemic to global growth-we explore developments evidenced to promote economic growth.

Shofar: An Interdisciplinary Journal of Jewish Studies, 2009

The year 2020 was marked by an intersection of three extraordinary factors, which contributed to shaping the Israeli scene and setting Israeli domestic, regional, and foreign relations: the presence of Donald Trump as US President in an election year, an ongoing domestic political crisis, and the coronavirus (COVID-19) pandemic.

2005

This paper reviews six English-language books on the economy of Israel. Each book was written or edited by Israelis, and each is from a different decade. The earliest book, Don Patinkin's The Israel Economy: The First Decade, was written in the late 1950s, and the most recent volume, The Israeli Economy, 1985 1998: From Government Intervention to Market Economics (edited by Avi Ben-Bassat), was published in 2002. While each book considers the Israeli economy at a different stage of its development, five common themes appear: (i) the relevant comparison group for considering the Israeli economy, (ii) the challenges of immigration, integration and inequality, (iii) the appropriate roles of the government and markets, (iv) openness and dependence, and (v) inflation, crisis, and stabilization. Overall, the chronology of economic views presented in these books corresponds to an increasing acceptance of the role of markets and an increasing desire for open trade in goods and assets.

IAI , 2020

The piece analyzes the March 2020 Israeli elections, their effect and their legacy

European Journal of Political Research Political Data Yearbook, 2018

Public Relations Review, 2009

As with the earlier downturn of the Great Depression, the current global economic crisis has revived direct government intervention in the marketplace. It has also stimulated wider contemporary debates on the role of government in financial markets that feature not just funding issues, but questions of regulation and social legitimacy, and a greater acknowledgement of distinctive national-international tensions rather than a converging consensus around continuing to deregulate a global market. This article seeks to provide historical perspectives to these debates by considering the role of government, with the involvement of public relations, during economic changes in Israel. It focuses on major campaigns in Israel around the roles, and inter-sector disputes, of three major sectors: agriculture during the first half of the 20th century; industrialization from the 1960s to the 1990s; and commerce and competition from the 1990s into the 21st century. The article tracks these three historical transformations as part of Israel's gradual shifting from a nation economy toward a global economy. It concludes that, in the present downturn, the Israeli experiences offer a reminder of the impact of communication campaigns, interwoven with national identity, on economic changes, and the potential for public relations strategies and tactics to have long-term effects.