1 Recent Developments in the Palestinian Economy
Author:
Mr. Ulric Eriksson von Allmen
Search for other papers by Mr. Ulric Eriksson von Allmen in
Current site
Google Scholar Close
Language:
English
Print Publication Date:
28 Aug 2001
Keywords:
BOOK; currency; GDP; expenditure; PA employment; policy orientation; rate of change; PA revenue; revenue diversion; PA employment growth; Employment; Commercial banks; Income

Abstract

The turmoil that erupted in the fall of 2000, and the closures that followed, have caused a sharp decline in economic activity in the West Bank and Gaza, not only dashing the prospects of a fourth consecutive year of rising per capita income but also rolling back most of the gains made in the previous three years. The shock is the worst experienced by the Palestinian economy in 30 years. Up until the crisis, the Palestinian economy was enjoying fairly solid economic growth and some positive policy developments had taken place with the Palestinian Authority (PA) making progress in improving economic governance. The fragile fiscal situation before the crisis—mainly because of weak expenditure control—worsened considerably in the aftermath of closures and turmoil.

Within Same Series

Other IMF Content

Other Publishers Content

  • Collapse
  • Expand
Cover The West Bank and Gaza
The West Bank and Gaza
Economic Performance, Prospects, and Policies: Achieving Prosperity and Confronting Demographic Challenges
ISBN:
9781589060357
Publication Date:
28 Aug 2001
Publisher:
International Monetary Fund
DOI:
https://doi.org/10.5089/9781589060357.071
Pages:
148

  • Abdel-Latif, A. and J. Nugent, 1996, “Transaction Cost Impairments to International Trade: Lessons from Egypt,” Contemporary Economic Policy, Vol. 14 (April), pp. 1–14.

    • Search Google Scholar
    • Export Citation

  • Aizenman, J., 1991, “Foreign Direct Investment, Productive Capacity and Exchange Rare Regimes,” NBER Working Paper No. 3767 (Cambridge, Massachusetts: National Bureau of Economic Research).

    • Search Google Scholar
    • Export Citation

  • Al-Atrash, H., and T. Yousef, 2000, “Intra-Arab Trade: Is It Too Little?” IMF Working Paper 00/10 (Washington: International Monetary Fund).

    • Search Google Scholar
    • Export Citation

  • Alonso-Gamo, P., M. Alier, T. Baunsgaard, and U. Erickson von Allmen, 1999, West Bank and Gaza Strip: Economic Developments in the Five Years Since Oslo (Washington: International Monetary Fund).

    • Search Google Scholar
    • Export Citation

  • Amjadi, A., and A. Yeats, 1995, “Have Transport Costs Contributed to the Relative Decline of African Exports? Some Preliminary Empirical Evidences,” World Rank Policy Research Paper No. 1559 (Washington: World Bank).

    • Search Google Scholar
    • Export Citation

  • Anderson, J., 1979, “A Theoretical Foundation for the Gravity Equation,” American Economic Review, Vol. 69, No. 1, pp. 106–116.

  • Arnon, A., I. Luski, A. Spivak, and J. Weinblatt, 1997, The Palestinian Economy: Between Imposed Integration and Voluntary Separation (New York: Brill).

    • Search Google Scholar
    • Export Citation

  • Arnon, A., and A. Spivak, 1996, “On the Introduction of a Palestinian Currency,” Middle East Business and Economic Review, Vol. 8, No. 1, pp. 1–14.

    • Search Google Scholar
    • Export Citation

  • Arnon, A., A. Spivak, and J. Weinblatt, 1996, “The Potential for Trade Between Israel, the Palestinians and Jordan,” World Economy, Vol. 19, (January), pp. 113–34.

    • Search Google Scholar
    • Export Citation

  • Astrup, C., and S. Dessus, 2001, “Trade Options for the Palestinian Economy: Some Orders of Magnitude” Middle East and North Africa Working Paper Series No. 21 (Washington: World Bank).

    • Search Google Scholar
    • Export Citation

  • Baliño, T., A. Bennett, E. Borensztein, A. Berg, Z. Chen, A. Ize, D. Robinson, A. Selassie, and L. Zamalloa, 1999, Monetary Policy in Dollarized Economies, IMF Occasional Paper No. 171 (Washington: International Monetary Fund).

    • Search Google Scholar
    • Export Citation

  • Baliño, T., A. Bennett, E. Borensztein, A. Berg, Z. Chen, A. Ize, D. Robinson, A. Selassie, and L. Zamalloa, C. Enoch, A. Ize, V. Santiprabhob, and P. Stella, 1997, Currency Board Arrangements: Issues and Experiences, IMF Occasional Paper No. 151 (Washington: International Monetary Fund).

    • Search Google Scholar
    • Export Citation

  • Barnett, S., 1998, “Monetary Policy in the West Bank and Gaza Strip in the Absence of a Domestic Currency,” The Economy of the West Bank and Gaza Strip: Recent Experience, Prospects, and Challenges to Private Sector Development, ed. by S. Barnett and others (Washington: International Monetary Fund).

    • Search Google Scholar
    • Export Citation

  • Barro, R., 1991, “Economic Growth in a Cross Section of Countries,” Quarterly Journal of Economics, Vol. 106 (May) pp. 407–43.

  • Barro, R., 1997, Determinants of Economic Growth: A Cross Country Empirical Study (Cambridge, Massachusetts: MIT Press).

  • Barro, R., 1999, “Notes on Growth Accounting,” Journal of Economic Growth, Vol. 4 (June), pp. 119–37.

  • Barro, R., and D. Gordon, 1983, “A Positive Theory of Monetary Policy in a Natural Rate Model,” Journal of Political Economy, Vol. 91 (August), pp. 589–610.

    • Search Google Scholar
    • Export Citation

  • Barro, R., and X. Sala-ì-Martin, 1995, Economic Growth (New York: McGraw-Hill).

  • Barro, R., and J.-W. Lee, 2000, “International Data on Educational Attainment: Updates and Implications,” NBER Working Paper No. 791 (Cambridge, Massachusetts: National Bureau of Economic Research).

    • Search Google Scholar
    • Export Citation

  • Bates, R., 1996, “Institutions as Investments,” in External Finance for Low-Income Countries, ed. by Z. Iqbal and R. Kanbur, paper presented at IMF-World Bank Conference on External Financing for Low-Income Countries, Washington, December 10–11.

    • Search Google Scholar
    • Export Citation

  • Benhabib, J., and M. Spiegel, 1994, “The Role of Human Capital in Economic Development: Evidence from Aggregate Cross-Country Data,” Journal of Monetary Economics, Vol. 34 (October), pp. 143–73.

    • Search Google Scholar
    • Export Citation

  • Bennett, A., 1994, “Currency Boards: Issues and Experiences,” IMF Paper on Policy Analysis and Assessment 94/18 (Washington: International Monetary Fund).

    • Search Google Scholar
    • Export Citation

  • Berg, A., and E. Borensztein, 2000, “The Pros and Cons of Full Dollarization,” IMF Working Paper 00/50 (Washington: International Monetary Fund).

    • Search Google Scholar
    • Export Citation

  • Bhagwati, J., and A. Panagariya, 1996a, “Preferential Trading Areas and Multilateralism—Strangers, Friends or Foes?” in The Economics of Preferential Trade Agreements, ed. by J. Bhagwati and A. Panagariya. (Washington: American Enterprise Institute Press).

    • Search Google Scholar
    • Export Citation

  • Bhagwati, J., and A. Panagariya, 1996b, “The Theory of Preferential Trade Agreements: Historical Evolution and Current Trends,” American Economic Review, Papers and Proceedings, Vol. 86 (May), pp. 82–87.

    • Search Google Scholar
    • Export Citation

  • Bisat, A., M. El-Erian, and T. Helbling, 1997, “Restoring the Boom—Growth, Investment, and Saving in the Arab Economies,” IMF Working Paper 97/85 (Washington: International Monetary Fund).

    • Search Google Scholar
    • Export Citation

  • Blavy, R., 2000, “Trade in the Mashreq: An Empirical Examination” (unpublished; Washington: International Monetary Fund).

  • Bloom, D., Canning, and P. Malaney, 1999, “Demographic Change and Economic Growth in Asia,” CID Working Paper No. 15 (Cambridge, Massachusetts: Harvard Center for International Development).

    • Search Google Scholar
    • Export Citation

  • Bloom, D., and R. Freeman, 1986, “Effects of Rapid Population Growth on Labor Supply and Employment in Developing Countries,” Population and Development Review, Vol. 12 (September), pp. 381–414.

    • Search Google Scholar
    • Export Citation

  • Bloom, D., R. Freeman, and S. Korenman, 1987, “The Labour-Market Consequences of Generational Crowding,” European journal of Population, Vol. 3, pp. 131–76.

    • Search Google Scholar
    • Export Citation

  • Bloom, D., and J. Williamson, 1998, “Demographic Transitions and Economic Miracles in Emerging Asia,” World Bank Economic Review, Vol. 12 (September), pp. 419–55.

    • Search Google Scholar
    • Export Citation

  • Borensztein, E., J. Zettelmeyer, and T. Philippon, 2001, “Monetary Independence in Emerging Markets: Does the Exchange Rate Regime Make a Difference?” IMF Working Paper 01/1 (Washington: International Monetary Fund).

    • Search Google Scholar
    • Export Citation

  • Bosworth, B., and S. Collins, 1999, “From Room to Crisis and Back Again: What Have We Learned?” (unpublished; (Washington: Brookings Institution). Available via the Internet: http://www.brooks.edu/es/research/projects/develop/develop.htm

    • Search Google Scholar
    • Export Citation

  • Brezis, E., and P. Krugman, 1996, “Immigration, Investment, and Real Wages,” Journal of Population Economics, Vol. 9, No. 1, pp. 83–93.

    • Search Google Scholar
    • Export Citation

  • Brunetti, A., G. Kisunko, and B. Weder, 1997, unpublished manuscript (Washington: World Bank).

  • Caballero, R., and M. Hammour, 2000, “Institutions, Restructuring and Macroeconomic Performance,” NBER Working Paper No. 7720 (Cambridge, Massachusetts: National Bureau of Economic Research).

    • Search Google Scholar
    • Export Citation

  • Calika, N., 1998, “The Trade System,” in The Economy of the West Bank and Gaza Strip: Recent Experience, Prospects, and Challenges to Private Sector Development, ed. by S. Barnett and others (Washington: International Monetary Fund).

    • Search Google Scholar
    • Export Citation

  • Calvo, G., 1999a, “Fixed Versus Flexible Exchange Rates: Preliminaries of a Turn-of-Millennium Rematch,” (unpublished draft; College Park: University of Maryland).

    • Search Google Scholar
    • Export Citation

  • Calvo, G., 1999b, “On Dollarization,” (unpublished draft; College Park: University of Maryland).

  • Calvo, G., 2000a, “Capital Markets and the Exchange Rate, with Special Reference to the Dollarization Debate in Latin America,” (unpublished draft, University of Maryland).

    • Search Google Scholar
    • Export Citation

  • Calvo, G., 2000b, “The Dollarization Debate,” material presented at the IMF Institute (Washington: International Monetary Fund).

  • Coe, D., and A. Hoffmaister, 1998, “North-South Trade: Is Africa Unusual?,” IMF Working Paper 98/94 (Washington: International Monetary Fund).

    • Search Google Scholar
    • Export Citation

  • Cohen, S., and C. Hsieh, 2000, “Macroeconomic and Labor Market Impact of Russian Immigration in Israel,” (unpublished). Available via the Internet: http://www.wws.princeton.edu/~chsieh/

    • Search Google Scholar
    • Export Citation

  • Collins, S., and B. Bosworth, 1996, “Economic Growth in East Asia: Accumulation Versus Assimilation,” Brookings Papers on Economic Activity: 2, Brookings Institution, pp. 135–203.

    • Search Google Scholar
    • Export Citation

  • Collins, S., and B. Bosworth, 2000, “Updated Growth Accounts.” An updated database for Collins and Bosworth (1996). It is available via the Internet: http://www.brook.edu/es/research/projects/develop/develop.htm.

    • Search Google Scholar
    • Export Citation

  • Commander, S., H. Davoodi, and U. Lee, 1997, “The Causes of Government and Consequences for Growth and Well-Being,” World Rank Policy Research Working Paper No. 1785 (Washington: World Bank).

    • Search Google Scholar
    • Export Citation

  • Corden, W.M., 1974, Trade Policy and Economic Welfare (Oxford: Clarendon Press).

  • Crafts, N., 1999, “East Asia Growth Before and After the Crisis,” IMF Staff Papers, Vol. 46 (June), pp. 139–65.

  • Daoud, Y., 1999, “The Determinants of Labor Force Participation Rate for Women in the West Bank and Gaza Strip,” Paper presented at the Forum for Social and Economic Policy Research in Palestine, Jerusalem and Ramallah, November.

    • Search Google Scholar
    • Export Citation

  • Dhonte, P., R. Bhattacharya, and T. Yousef, 2000, “Demographic Transition in the Middle East: Implications for Growth, Employment, and Housing,” IMF Working Paper 00/41 (Washington: International Monetary Fund).

    • Search Google Scholar
    • Export Citation

  • Dornbusch, R., 1992, “Case for Trade Liberalization in Developing Countries,” Journal of Economic Perspectives, Vol. 6 (Winter), pp. 69–85.

    • Search Google Scholar
    • Export Citation

  • Dumas, J., 1999, “Fiscal Leakage in the West Bank and Gaza Strip,” in Evaluating the Paris Protocol: Economic Relations Between Israel and the Palestinian Territories, ed. by B. Philippe and C. Pissarides (Brussels: European Commission).

    • Search Google Scholar
    • Export Citation

  • Easterly, W., and R. Levine, 1997, “Africa’s Growth Tragedy: Policies and Ethnic Divisions,” Quarterly Journal of Economics, Vol. 112 (November), pp. 1203–49.

    • Search Google Scholar
    • Export Citation

  • Easterly, W., and R. Levine, 2000, “It’s Not Factor Accumulation: Stylized Facts and Growth Models,” International Monetary Fund Seminar Series No. 2000–12 (Washington: International Monetary Fund).

    • Search Google Scholar
    • Export Citation

  • ECF-DATA, 1998, “The EPS Model: A Possible Set of Israeli-Palestinian Economic Understandings for Permanent Status,” paper prepared by the Data Studies and Consultations group in Bethlehem and the Economic Cooperation Foundation in Tel Aviv.

    • Search Google Scholar
    • Export Citation

  • Eichengreen, et al., 1999, Exit Strategies: Policy Options for Countries Seeking Greater Exchange Rate Flexibility, IMF Occasional Paper 168 (Washington: International Monetary Fund).

    • Search Google Scholar
    • Export Citation

  • Elías, V., 1990, Sources of Growth: A Study of Seven Loan American Economies (San Francisco: ICS Press).

  • Erickson von Allmen, U. and K. Nashashibi, 1999, “The Trade Regime in the EPS Model,” (unpublished; Washington: International Monetary Fund).

    • Search Google Scholar
    • Export Citation

  • Federation of Palestinian Chambers of Commerce, Industry, and Agriculture, 1998, The Transactions Costs Study: An Examination of the Costs of international Trade in the West Bank (August), (Jerusalem: Federation of Palestinian Chambers of Commerce, Industry, and Agriculture).

    • Search Google Scholar
    • Export Citation

  • Feenstra, R., J. Markusen, and A. Rose, 2000, “Using the Gravity Equation to Differentiate Among Alternative Theories of Trade,” (unpublished, forthcoming in Canadian Journal of Economics).

    • Search Google Scholar
    • Export Citation

  • Fischer, S., 1993, “Role of Macroeconomic Factors in Growth,” Journal of Monetary Economics, Vol. 32 (December), pp. 485–512.

  • Fischer, S., 2001, “Exchange Rate Regimes: Is the Bipolar View Correct?” paper presented at the meetings of the American Economic Association, New Orleans, January 6.

    • Search Google Scholar
    • Export Citation

  • Fischer, S., P. Alonso-Gamo, and U. Erickson von Allmen, 2001, “Economic Developments in the West Bank and Gaza Since Oslo,” Economic Journal, Vol. III, No. 472, pp. 254–75.

    • Search Google Scholar
    • Export Citation

  • Frankel, J., with E. Stein and S. Wei, 1997, Regional Trading Blocks in the World Economic System (Washington: Institute for International Economics).

    • Search Google Scholar
    • Export Citation

  • Frankel, J., and D. Romer, 1999, “Does Trade Cause Growth?” American Economic Review, Vol. 89 (June), pp. 379–399.

  • Frankel, J., S. Schmukler, and L. Servén, 2000, “Verifiability and the Vanishing Intermediate Exchange Rate Regime,” NBER Working Paper No. 7901 (Cambridge, Massachusetts: National Bureau of Economic Research).

    • Search Google Scholar
    • Export Citation

  • Frankel, J., E. Stein, and S. Wei, 1995, “Trading Blocs and the Americas: The Natural, the Unnatural and the Super-Natural,” Journal of Development Economics, Vol. 47 (June), pp. 61–95.

    • Search Google Scholar
    • Export Citation

  • Furubotn, E., and R. Richter, 2000, Institutions and Economic Theory: The Contribution of New Institutional Economics (Ann Arbor: The University of Michigan Press).

    • Search Google Scholar
    • Export Citation

  • Gale, D., and X. Vives, 2001, “Dollarization, Bailouts, and the Stability of the Banking System” (unpublished, available via the Internet from http://www.econ.nyu.edu/user/galed/papers.html)

    • Search Google Scholar
    • Export Citation

  • Gallup, J., and J. Sachs, with A. Mellinger, 1999, “Geography and Economic Development,” NBER Working Paper No. 6849 (Cambridge, Massachusetts: National Bureau of Economic Research).

    • Search Google Scholar
    • Export Citation

  • Galor, O., and D. Weil, 1999, “From Malthusian Stagnation to Modern Growth,” American Economic Review, Papers and Proceedings, Vol. 89 (May), pp. 150–54.

    • Search Google Scholar
    • Export Citation

  • Galor, O., and D. Weil, 2000, “Population, Technology, and Growth: From Malthusian Stagnation to the Demographic Transition and Beyond,” American Economic Review, Vol. 90 (September), pp. 806–28.

    • Search Google Scholar
    • Export Citation

  • Ghosh, A., A. Gulde, and H. Wolf, 1998, “Currency Boards: The Ultimate Fix?” IMF Working Paper No. 98/8 (Washington: International Monetary Fund).

    • Search Google Scholar
    • Export Citation

  • Ghosh, A., A. Gulde, J. Ostry, and H. Wolf, 1997, “Does the Nominal Exchange Rate Regime Matter?” NBER Working Paper No. 5874 (Cambridge, Massachusetts: National Bureau of Economic Research).

    • Search Google Scholar
    • Export Citation

  • Ghosh, A., and P. Pesenti, 1994, “Real Effects of Nominal Exchange Rate Regimes,” (unpublished; Princeton: Princeton University).

  • Ghosh, A., and S. Phillips, 1998, “Warning: Inflation May Be Harmful to Your Growth,” IMF Staff Papers, Vol. 45 (December), pp. 672–710.

    • Search Google Scholar
    • Export Citation

  • Girton, L., and D. Roper, 1980, “The Theory of Currency Substitution and Monetary Unification,” Economie Appliquee, Vol. 33, No. 1, pp. 135–60.

    • Search Google Scholar
    • Export Citation

  • Hall, R., and C. Jones, 1999, “Why Do Some Countries Produce So Much More Output Per Worker Than Others?” Quarterly Journal of Economics, Vol. 114 (February), pp. 83–116.

    • Search Google Scholar
    • Export Citation

  • Hamilton, C., and L. Winters, 1992, “Trade with Eastern Europe,” Economic Policy, (April), pp. 78–116.

  • Heller, P., and J. Diamond, 1990, International Comparisons of Government Expenditure Revisited: The Developing Countries, 1975–86, IMF Occasional Paper No. 69 (Washington: International Monetary Fund).

    • Search Google Scholar
    • Export Citation

  • Helpman, E., 1987, “Imperfect Competition and International Trade: Evidence from Fourteen Industrial Countries,” Journal of Japanese and international Economies, Vol. 1 (March), pp. 62–81.

    • Search Google Scholar
    • Export Citation

  • Helpman, E., and P. Krugman, 1985, Market Structure and Foreign Trade: increasing Returns, Imperfect Competition, and the international Economy (Cambridge, Massachusetts: MIT Press).

    • Search Google Scholar
    • Export Citation

  • Holden, P., and S. Rajapatirana, 1995, Unshakling the Private Sector: A Latin American Story (Washington: World Bank).

  • Hulten, C., 2000, “Total Factor Productivity: A Short Biography,” NBER Working Paper No. 7471 (Cambridge, Massachusetts: National Bureau of Economic Research).

    • Search Google Scholar
    • Export Citation

  • International Monetary Fund, 1998, “Jordan—Selected Issues” (Washington: International Monetary Fund).

  • International Monetary Fund, 2000, “IMF Approves Stand-By Credit for Ecuador,” PR/00/32, April 19. Available via the Internet: http://www.imf.org

    • Search Google Scholar
    • Export Citation

  • Isham, J., and D. Kaufmann, 1999, “The Forgotten Rationale for Policy Reform: The Productivity of Investment Projects,” Quarterly Journal of Economics, Vol. 114 (February), pp. 149–84.

    • Search Google Scholar
    • Export Citation

  • Islam, N., 1999, “International Comparison of Total Factor Productivity; A Review,” Review of Income and Wealth, Series 45 (December), pp. 493–518.

    • Search Google Scholar
    • Export Citation

  • Israel Central Bureau of Statistics, 1984, Statistical Abstract of Israel, No. 35 (Jerusalem).

  • Israel Central Bureau of Statistics, 1996, Statistical Abstract of Israel, No. 47 (Jerusalem).

  • Israel Central Bureau of Statistics, 1996, National Accounts of Judea, Samaria, and the Gaza Area, 1968–1993, Publication No. 1012 (Jerusalem).

    • Search Google Scholar
    • Export Citation

  • Israeli-Palestinian interim Agreement on the West Bank and the Gaza Strip, 1995 (Washington), September 28.

  • Jackson, B., 2000, “Customs Study in Support of the Ministry of Economy and Trade,” paper prepared under the Economic Policy Programme Initiative, Phase II.

    • Search Google Scholar
    • Export Citation

  • Jackson, J., 1997, The World Trading System: Law and Policy of international Economic Relations (Cambridge, Massachusetts: MIT Press).

  • Kanaan, O., 1998, “Private Investment Under Uncertainty in the West Bank and Gaza Strip,” in The Economy of the West Bank and Gaza Strip: Recent Experience, Prospects, arid Challenges to Private Sector Development, ed. by S. Barnett and others (Washington: International Monetary Fund).

    • Search Google Scholar
    • Export Citation

  • Kaufmann, D., A. Kraay, and P. Zoido-Lobaton, 1999, “Aggregating Governance Indicators,” World Rank Policy Research Working Paper No. 2195 (Washington: World Bank).

    • Search Google Scholar
    • Export Citation

  • Kessler, V., 1999, “Palestine’s External Trade Performance Under the Paris Protocol: Hopes and Disillusions,” in Evaluating the Paris Protocol: Economic Relations Between Israel and the Palestinian Territories, ed. by B. Philippe and C. Pissarides (1999).

    • Search Google Scholar
    • Export Citation

  • Kim, J-I., and L. Lau, 1994, “Sources of Economic Growth of the East Asian Newly Industrializing Countries,” Journal of the Japanese and International Economics, Vol. 8 (September), No. 3, pp. 235–71.

    • Search Google Scholar
    • Export Citation

  • Kleiman, E., 1994, “The Economic Provisions of the Agreement Between Israel and the PLO,” Israel Law Review, Vol. 28, Nos. 2–3, pp. 347–73.

    • Search Google Scholar
    • Export Citation

  • Klenow, P., and A. Rodríguez-Clare, 1997, “The Neoclassical Revival in Growth Economics: Has It Gone Too Far?” in NBER Macroeconomics Annual, ed. by B. Bernanke and J. Rotemberg, Vol. 12, pp. 73–103.

    • Search Google Scholar
    • Export Citation

  • Knack, S., and P. Keefer, 1995, “Institutions and Economic Performance: Cross-Country Tests Using Alternative Institutional Measures,” Economics and Politics, Vol. 7, No. 3, pp. 207–27.

    • Search Google Scholar
    • Export Citation

  • Kornai, J., and J. McHale, 2000, “Is Post-Communist Health Spending Unusual? A Comparison with Established Market Economies,” The Economics of Transition, Vol. 8 (July), No. 2, pp. 369–99.

    • Search Google Scholar
    • Export Citation

  • Krueger, A., 1984, “Trade Policies in Developing Countries,” in Handbook of International Economics, ed. by R.W. Jones and P.B. Keenen (New York: North-Holland).

    • Search Google Scholar
    • Export Citation

  • Krueger, A., 1995, “Free Trade Agreements Versus Customs Unions,” NBER Working Paper No. 5084 (Cambridge, Massachusetts: National Bureau of Economic Research).

    • Search Google Scholar
    • Export Citation

  • Krueger, A., and K. Krishna, 1995, “Implementing Free Trade Areas: Rules of Origin and Hidden Protection,” NBER Working Paper No. 4983 (Cambridge, Massachusetts: National Bureau of Economic Research).

    • Search Google Scholar
    • Export Citation

  • Kydland, F., and E. Prescott, 1977, “Rules Rather Than Discretion: The Inconsistency of Optimal Plans,” Journal of Political Economy, Vol. 85, No. 3, pp. 473–91.

    • Search Google Scholar
    • Export Citation

  • Lensink, R., H. Bo, and E. Sterken, 1999, “Does Uncertainty Affect Economic Growth? An Empirical Analysis,” Weltwirtschaftliches Archiv, Vol. 135, No. 3, pp. 379–95.

    • Search Google Scholar
    • Export Citation

  • Levine, R., N. Loayza, and T. Beck, 2000, “Financial Intermediation and Growth: Causality and Causes,” Journal of Monetary Economics, Vol. 46, No. 1, pp. 31–77.

    • Search Google Scholar
    • Export Citation

  • Levine, R., and D. Renelt, 1992, “Sensitivity Analysis of Cross-Country Growth Regressions,” American Economic Review, Vol. 82 (September), pp. 942–63.

    • Search Google Scholar
    • Export Citation

  • Levy-Yeyati, E., and F. Sturzenegger, 2000, “Exchange Rate Regimes and Economic Performance,” paper presented at the First Annual Research Conference of the IMF, Washington, November 9–10.

    • Search Google Scholar
    • Export Citation

  • Madani, D., 1999, “A Review of the Role and Impact of Export Processing Zones,” World Rank Policy Research Working Paper No. 2238 (Washington: World Bank).

    • Search Google Scholar
    • Export Citation

  • Mas, M., F. Perez, and E. Uriel, 2000, “Estimation of the Stock of Capital in Spain,” Review of income and Wealth, Series 46, No. 1, pp. 103–16.

    • Search Google Scholar
    • Export Citation

  • McCallum, J., 1995, “National Borders Matter: Canada-U.S. Regional Trade Patterns,” American Economic Review, Vol. 85 (June), pp. 615–23.

    • Search Google Scholar
    • Export Citation

  • Mishkin, F., 1998, “International Experiences with different Monetary Policy Regimes,” NBER Working Paper No. 7044 (Cambridge, Massachusetts: National Bureau of Economic Research).

    • Search Google Scholar
    • Export Citation

  • Murphy, K., A. Shleifer, and R. Vishny, 1991, “Allocation of Talent: Implications for Growth,” Quarterly Journal of Economics, Vol. 106 (May), pp. 503–30.

    • Search Google Scholar
    • Export Citation

  • Mussa, M., et al., 2000, Exchange Rate Regimes in an Increasingly Integrated World Economy, IMF Occasional Paper No. 193 (Washington: International Monetary Fund).

    • Search Google Scholar
    • Export Citation

  • Nehru, V., and A. Dhareshwar, 1993, “A New Data Base on Physical Capital Stock: Sources, Methodology, and Results,” Revista de Analisisis Economico, Vol. 8, No. 1, pp. 37–59.

    • Search Google Scholar
    • Export Citation

  • North, D., 1987, “Institutions, Transaction Costs and Economic Growth.” Economic Enquiry, Vol. 25 (July), pp. 419–28.

  • North, D., 1994, “Economic Performance through Time,” American Economic Review, Vol. 84 pp. 359–68.

  • Palestinian Authority (PA), Ministry of Economy and Trade, 1999a, The Palestinian Export and Import Guide (Ramallah).

  • Palestinian Authority (PA), Ministry of Economy and Trade, Ministry of Finance, 1999b, Quarterly Fiscal Report, prepared for the Ad Hoc Liaison Committee meeting, Tokyo, October.

    • Search Google Scholar
    • Export Citation

  • Palestinian Authority (PA), Ministry of Economy and Trade, Ministry of Finance, 2000, Economic Policy Framework—Progress Report, presented at the Ad Hoc Liaison Committee meeting, Lisbon, June.

    • Search Google Scholar
    • Export Citation

  • Palestinian Authority (PA), Ministry of Economy and Trade, Ministry of Finance Ministry of Education, Five Year Education Development 2000/2001–2004/2005, June 2000, draft.

    • Search Google Scholar
    • Export Citation

  • Palestinian Central Bureau of Statistics, 1998a, National Accounts 1995–96: Preliminary Estimates (Ramallah).

  • Palestinian Central Bureau of Statistics, 1998b, Fertility and Fertility Desire: Detailed Results (Ramallah).

  • Palestinian Central Bureau of Statistics, 1998c, Population, Housing, and Establishments Census–1997 (Ramallah).

  • Palestinian Central Bureau of Statistics, 1999, Population in the Palestinian Territory, 1997–2025 (Ramallah).

  • Palestinian Central Bureau of Statistics, 2000, Direct Losses of the Palestinian Economy Due to the Israeli Siege 1/10/2000–30/11/2000 (Ramallah).

    • Search Google Scholar
    • Export Citation

  • Panagariya, A., 2000, “Preferential Trade Liberalization: The Traditional Theory and New Developments,” Journal of Economic Literature, Vol. 30 (June), pp. 287–331.

    • Search Google Scholar
    • Export Citation

  • Panagariya, A., and D. Rodrik, 1993, “Political-Economy Arguments for a Uniform Tariff,” International Economic Review, Vol. 34 (August), pp. 685–703.

    • Search Google Scholar
    • Export Citation

  • Payne, J., and B. Ewing, 1996, “International Evidence on Wagner’s Hypothesis: A Co integral ion Analysis,” Public Finance, Vol. 51, No. 2, pp. 258–74.

    • Search Google Scholar
    • Export Citation

  • Philippe, B., and C. Pissarides (eds.), 1999, Evaluating the Paris Protocol: Economic Relations between Israel and the Palestinian Territories (unpublished; Brussels: European Commission).

    • Search Google Scholar
    • Export Citation

  • Poole, W., 1970, “Optimal Choice of Monetary Policy Instruments in a Simple Stochastic Macro Model,” Quarterly Journal of Economics, Vol. 84, No. 2, pp. 197–216.

    • Search Google Scholar
    • Export Citation

  • Pritchett, L., 1997, “Divergence, Big Time,” Journal of Economic Perspectives, Vol. 11 (Summer), pp. 3–17.

  • Quah, D., 1993, “Empirical Cross-Section Dynamics in Economic Growth,” European Economic Review, Vol. 37 (April), pp. 426–34.

  • Quah, D., 1997, “Empirics for Growth and Distribution: Stratification, Polarization and Convergence Clubs,” Journal of Economic Growth, 2, pp. 27–59

    • Search Google Scholar
    • Export Citation

  • Radelet, S., 1999, “Manufactured Exports, Export Platforms, and Economic Growth,” Consulting Assistance on Economic Reform (CAER) II Discussion Paper No. 43, (Cambridge, Massachusetts: Harvard Institute for International Development).

    • Search Google Scholar
    • Export Citation

  • Radelet, S., and J.-W. Lee, 1997, “Economic Growth in Asia,” Development Discussion Paper No. 609, (Cambridge Massachusetts: Harvard Institute for International Development).

    • Search Google Scholar
    • Export Citation

  • Ram, R., 1987, “Wagner’s Hypothesis in Time-Series and Cross-Section Perspectives: Evidence from Real Data for 115 Countries,” The Review of Economics and Statistics, Vol. 69 (May), pp. 194–204.

    • Search Google Scholar
    • Export Citation

  • Ramey, G., and V. Ramey, 1995, “Cross-Country Evidence on the Link Between Volatility and Growth,” American Economic Review, Vol. 85 (December), pp. 1138–51.

    • Search Google Scholar
    • Export Citation

  • Rodríguez, F., and D. Rodrik, 1999, “Trade Policy and Economic Growth: A Skeptic’s Guide to Cross-National Evidence,” NBER Working Paper No. 7081 (Cambridge, Massachusetts: National Bureau of Economic Research).

    • Search Google Scholar
    • Export Citation

  • Rodríguez, F., and J. Sachs, 1999, “Why Do Resource-Abundant Economies Grow More Slowly?” Journal of Economic Growth, Vol. 4 (September), pp. 277–303.

    • Search Google Scholar
    • Export Citation

  • Romer, P., 1994, “New Goods, Old Theory, and the Welfare Costs of Trade Restrictions,” Journal of Development Economics, Vol. 43 (February), pp. 5–38.

    • Search Google Scholar
    • Export Citation

  • Rose, A., 2000, “One Money, One Market: Estimating the Effects of Common Currencies on Trade,” Economic Policy, Vol. 15, Issue 30.

  • Sachs, J., and A. Warner, 1995a, “Natural Resource Abundance and Economic Growth,” NBER Working Paper No. 5398 (Cambridge, Massachusetts: National Bureau of Economic Research).

    • Search Google Scholar
    • Export Citation

  • Sachs, J., and A. Warner, 1995b, “Economic Reform and the Process of Global Integration,” Brookings Papers on Economic Activity: 1, Brookings Institution, pp. 1–118.

    • Search Google Scholar
    • Export Citation

  • Sachs, J., and A. Warner, 1997, “Fundamental Sources of Long-Run Growth,” American Economic Review, Papers and Proceedings, Vol. 87 (May), pp. 184–88.

    • Search Google Scholar
    • Export Citation

  • Sarel, M., 1994, “Demographic Dynamics and the Empirics of Economic Growth,” IMF Working Paper 94/143 (Washington: International Monetary Fund).

    • Search Google Scholar
    • Export Citation

  • Sarel, M., 1995, “Growth in East Asia; What We Can and What We Cannot Infer From It,” IMF Working Paper 95/98 (Washington: International Monetary Fund).

    • Search Google Scholar
    • Export Citation

  • Sarel, M., 1996, “Nonlinear Effects of Inflation on Economic Growth,” IMF Staff Papers, Vol. 43 (January), pp. 199–215.

  • Sarel, M., 1999, “Growth and Productivity in Israel in an International Perspective,” Bank of Israel Economic Review, No. 72 (November), pp. 1–22.

    • Search Google Scholar
    • Export Citation

  • Senhadji, A., 1999, “Sources of Economic Growth: An Extensive Growth Accounting Exercise,” IMF Working Paper 99/77 (Washington: International Monetary Fund).

    • Search Google Scholar
    • Export Citation

  • Sewell, D., 2001, “Governance and the Business Environment in the West Bank/Gaza,” Middle East and North Africa Working Paper Series No. 23 (Washington: World Bank).

    • Search Google Scholar
    • Export Citation

  • Shtayyeh, M., 2000, “Economic Consequences of the Closure: 28 September—24 October,” available via the Internet: http://www.pna.net

    • Search Google Scholar
    • Export Citation

  • Smith, L., 1998, “Currency Arrangements in Palestine Under the British Mandate,” paper presented at the Palestine Monetary Authority conference, Gaza, December.

    • Search Google Scholar
    • Export Citation

  • Solow, R., 1957, “Technical Change and the Aggregate Production Function,” Review of Economics and Statistics, Vol. 39, pp. 312–20.

    • Search Google Scholar
    • Export Citation

  • Subramanian, A., 1994, “The Case for Low Uniform Tariffs,” Finance and Development, Vol. 31 (June), pp. 33–35.

  • Subramanian, A., A. Ibrahim, and L. Torres-Castro, 1993, “Optimal Tariffs: Theory and Practice,” IMF Working Paper 93/50 (Washington: International Monetary Fund).

    • Search Google Scholar
    • Export Citation

  • Subramanian, A., and N. Tamirisa, 2001, “Africa’s Trade Revisited,” unpublished manuscript.

  • Tanzi, V., 1987, “Quantitative Characteristics of the Tax Systems of Developing Countries,” in The Theory of Taxation of Developing Countries, ed. by D. Newberry and N., Stem, (Washington: World Bank).

    • Search Google Scholar
    • Export Citation

  • Tanzi, V., and H. Davoodi, 1978, “Corruption, Public Investment, and Growth” in The Welfare State, Public Investment, and Growth: Selected Papers from the 53rd Congress of the International Institute of Public Finance, ed. by H. Shibata and T. Ihori (New York: Springer).

    • Search Google Scholar
    • Export Citation

  • Tavares de Araujo, J., 1998, “Transaction Costs and Regional Trade,” Revista Brasileira De Economia, Vol. 52 (February), pp. 105–19.

    • Search Google Scholar
    • Export Citation

  • Temple, J., 1999, “The New Growth Evidence,” Journal of Economic Literature, Vol. 37 (March), pp. 112–56.

  • The Services Group, 1999, “Investor Targeting Strategy for Industrial Estates in the West Bank and Gaza,” TSG-SITE Project prepared for the United States Agency for International Development (USAID) and the Palestinian Industrial Estates and Free Zone Authority (Arlington, Virginia: The Services Group).

    • Search Google Scholar
    • Export Citation

  • The Services Group, 2000, “Gaza Industrial Estate: Study for Common Bonded Warehouse/Container Storage Yard,” TSG-Site Project prepared for the United States Agency for International Development (USAID) and the Palestinian Industrial Estates and Free Zone Authority (Arlington, Virginia: The Services Group).

    • Search Google Scholar
    • Export Citation

  • United Nations Conference on Trade and Development (UNCTAD) 1999, Promoting the Palestinian Authority’s Cooperation with Egypt and Jordan in Improving Sub-Regional Trade-Related Services, paper presented at UNCTAD/UNDP workshop in Ramallah, June 19–21, 1999.

    • Search Google Scholar
    • Export Citation

  • United Nations Office of the Special Coordinator in the Occupied Territories, 2000a, “UNSCO Report on the Palestinian Economy.” Available via the Internet: http://www.unsco.org

    • Search Google Scholar
    • Export Citation

  • United Nations Office of the Special Coordinator in the Occupied Territories, 2000b, “The Impact on the Palestinian Economy of the Recent Confrontations, Mobility Restrictions and Border Closures, 28 September—19 October 2000.” Available via the Internet: http://www.atts.mcgill.ca/mepp/unsco

    • Search Google Scholar
    • Export Citation

  • United Nations Office of the Special Coordinator in the Occupied Territories, 2000c, “The Impact on the Palestinian Economy of the Confrontations, Mobility Restrictions and Border Closures, 28 September-26 November 2000,” Available via the Internet: http://www.arts.mcgill.ca/mepp/unsco

    • Search Google Scholar
    • Export Citation

  • United Nations Office of the Special Coordinator in the Occupied Territories, 2001, “The Impact on the Palestinian Economy of Confrontations, Mobility Restrictions and Border Closures, 1 October 2000–31 January 2001”. Available via the Internet: http://www.arts.mcgill.ca/mepp/unsco

    • Search Google Scholar
    • Export Citation

  • Vamvakidis, A., 1999, “Regional Trade Agreements Versus Broad Liberalization: Which Path Leads to Faster Growth? Time-Series Evidence,” IMF Staff Papers, Vol. 46 (March), pp. 42–68.

    • Search Google Scholar
    • Export Citation

  • Van Rijckeghem, C., and B. Weder, 1997, “Corruption and the Role of Temptation: Do Low Wages in the Civil Service Cause Corruption?” IMF Working Paper 97/93 (Washington: International Monetary Fund).

    • Search Google Scholar
    • Export Citation

  • Viner, J., 1950, The Customs Union Issue (New York: Carnegie Endowment for International Peace).

  • Williamson, J., 1997, “Growth, Distribution and Demography: Seme Lessons From History,” NBER Working Paper No. 6244 (Cambridge, Massachusetts: –National Bureau of Economic Research).

    • Search Google Scholar
    • Export Citation

  • World Bank, 1993, Developing the Occupied Territories: An investment in Peace, Vol. 2 (Washington: World Bank).

  • World Bank, 2000, “The Impact of Prolonged Closure on Palestinian Poverty” (unpublished: World Bank Resident Office in the West Bank and Gaza).

    • Search Google Scholar
    • Export Citation

  • World Trade Organization, 2000, Trade Policy Review 1999—Israel (Geneva: WTO).

  • Yeats, A., 1997, “Does Mercosur’s Trade Performance Raise Concerns about the Effects of Regional Trade Arrangements?” World Bank Policy Research Working Paper No. 1729 (Washington: World Bank).

    • Search Google Scholar
    • Export Citation

  • Young, A., 1995, “The Tyranny of Numbers: Confronting the Statistical Realities of the East Asian Growth Experience,” Quarterly Journal of Economics, Vol. 110 (August), pp. 641–80.

    • Search Google Scholar
    • Export Citation

  • Zavadjil, M., N. Calika, O. Kanaan, and D. Chua, 1997, Recent Economic Developments, Prospects, and Progress in Institution Building in the West Bank and Gaza Strip (Washington: International Monetary Fund).

    • Search Google Scholar
    • Export Citation