Atif Kubursi () (Department of Economics, McMaster University, Hamilton, Ontario, Canada) Fadle Naqib. () (Department of Economics,University of Waterloo, Waterloo, Ontario, Canada)
Abstract
The article presents an analysis of the nature, structure, and dynamics of the relation between the Israeli and Palestinian economies as they have evolved during the occupation period and the few short years of limited Palestinian self-rule. It reveals the various asymmetries and anomalies in the relation, the way they have affected the course of the Palestinian economy, the costs that have been incurred by Palestinians, and the benefits that have accrued to Israelis from their continuation. It is argued that the removal of these anomalies and asymmetries are a prerequisite for any serious and genuine peace that would permit the economic infrastructure to promote and support a stable and durable peace. Divided into four sections, the article provides the theoretical framework within which the relationship between the two economies is analyzed; documents and examines specific practices and policies of successive Israeli governments with regard to the Palestinian economy; summarizes the cumulative effects of these specific restrictive practices; and closes with the presentation of some conclusions.
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