Counting the Cost of the Intifada: Consumption, Saving and Political Instability in Israel |
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| Authors: | David Fielding |
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| Affiliation: | 1. Department of Economics, University of Leicester, Leicester, LE1 7RH, U.K.
2. Centre for the Study of African Economics, Department of Economics, University of Oxford, USA
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| Abstract: | In this paper we investigate some of the ways in whichshort-term variations in the magnitude of politicalinstability can impact on macroeconomic performance, takingthe example of Israel since 1987. Several indicators ofpolitical instability are found to have a significant impacton aggregate consumption and savings, and explain a large partof poor Israeli savings performance over recent years. |
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