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Israel needs economic security, too
Originally published 18 Jun 1999 in The Wall Street Journal

After his landslide victory, Israel’s Prime Minister elect Ehud Barak expressed his determination to restart peace talks with the Syrians and Palestinians. But a more urgent priority, for peace as well as prosperity, is to reform Israel’s stagnant economy. Economic inefficiency is responsible for squandering much of Israel’s excellent human capital, and for the country’s growing political instability and widening social fissures. Slow growth is also for hampering the peace process. For better or worse, the Palestinians will remain inextricably linked to Israel’s laggard economy. Their welfare, not only Israel’s, depends on liberalization.

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