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Functional Distribution of Income in Palestine: Relevance, Measurement, and Political Economy Implications

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  • Ibrahim Shikaki

Abstract

The article provides two new approximations of the Palestinian wage share. In the midst of one of the most brutal Israeli attacks on the Palestinian people, the international community and policy makers are contemplating the economic dimensions of rebuilding the Gaza Strip. What is missing from these debates, and indeed missing from scholarly work on Palestine, is an adequate discussion of the internal distribution of income, namely, functional distribution. The latter provides a proxy of bargaining power of Palestinian labor vis-Ã -vis both Palestinian and Israeli capital, contributes to debates concerning wage-led and profit-led regimes, and demonstrates who the winners are in times of economic growth: those who earn their income from labor or from capital (property). The results provide important insights on the political economy of occupation and dependency. JEL Classification : E01, E25, O15, N15

Suggested Citation

  • Ibrahim Shikaki, 2025. "Functional Distribution of Income in Palestine: Relevance, Measurement, and Political Economy Implications," Review of Radical Political Economics, Union for Radical Political Economics, vol. 57(2), pages 282-294, June.
    • Handle: RePEc:sae:reorpe:v:57:y:2025:i:2:p:282-294
    DOI: 10.1177/04866134251321584
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    More about this item

    Keywords

    factor income distribution; political economy; Palestinian economy; labor share;
    All these keywords.

    JEL classification:

    • E01 - Macroeconomics and Monetary Economics - - General - - - Measurement and Data on National Income and Product Accounts and Wealth; Environmental Accounts
    • E25 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Aggregate Factor Income Distribution
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • N15 - Economic History - - Macroeconomics and Monetary Economics; Industrial Structure; Growth; Fluctuations - - - Asia including Middle East

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