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The Israeli Economy

A Story of Success and Costs

Joseph Zeira

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Sozialwissenschaften, Recht, Wirtschaft / Wirtschaft


An authoritative economic history of Israel from its founding to the present

In 1922, there were ninety thousand Jews in Palestine, a small country in a poor and volatile region. Today, Israel has a population of nine million and is one of the richest countries in the world. The Israeli Economy tells the story of this remarkable transformation, shedding critical new light on Israel's rapid economic growth.

Joseph Zeira takes readers from those early days to today, describing how Israel's economic development occurred amid intense fighting with the Palestinians and neighboring Arab countries. He reveals how the new state's astonishing growth continued into the early 1970s, and traces this growth to public investment in education and to large foreign transfers. Zeira analyzes the costs of the Arab-Israeli conflict, demonstrating how economic output could be vastly greater with a comprehensive peace. He discusses how Israel went through intensive neoliberal economic policies in recent decades, and shows how these policies not only failed to enhance economic performance, but led to significant social inequality.

Based on more than two decades of groundbreaking research, The Israeli Economy is an in-depth survey of a modern economy that has experienced rapid growth, wars, immigration waves, and other significant shocks. It thus offers important lessons for nations around the world.

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Jewish Agency for Israel, Institution, Intifada, New Nation (United States), Palestinian National Authority, Developed country, Berl Katznelson, Economist, Rosh Pinna, Economy, Fifth Aliyah, Neoliberalism, Israeli Declaration of Independence, Petah Tikva, Great Famine (Ireland), Arab–Israeli conflict, Beirut, Social order, Economic inequality, Safed, Employment, Centre-right politics, Expense, Palestinian territories, Suez Crisis, Hovevei Zion, Demography, Unemployment, Palestinians, War of Attrition, Sinai Peninsula, Chapter 9, Economy of Israel, Immigration Act of 1924, Mizrahi Jews, Supranational union, Business cycle, Arabs, Inflation tax, Privatization, Arab citizens of Israel, Opportunity cost, Moshav, Israeli–Palestinian conflict, Yom Kippur War, Palestine Liberation Organization, Hashomer Hatzair, Economic growth, Balfour Declaration, Palestinian refugees, The Other Hand, David Ben-Gurion, Lebanese Civil War, Gulf War, First Aliyah, Trade agreement, Economic history, Jerusalem, Public Agenda, White Paper of 1939, Yishuv, Muslim world, Poalei Agudat Yisrael, Rhetoric, Aliyah, Israelis, Trade union, Market failure, Tel Aviv, Fourth Aliyah, Economics, Education, Zionism, Hebrew University of Jerusalem, Hamas, Israel, Invasion of Kuwait, Labour movement, Histadrut, Immigration, Six-Day War, Second Aliyah, Sephardi Jews, Public expenditure, Golan Heights, 1948 Palestinian exodus, First Intifada, Salah, Mandatory Palestine, Trade-off, Demographics of Israel, Illegal immigration, Jews, Statism, Old Yishuv, Lecture, 1982 Lebanon War, Refugee, Balance of trade, Recession