Sunday, January 31, 2010

Imposed Integration within Economic Relationship between the ‎Occupied Palestinian Territories and both of Israel and Jordan ‎‎(1968-1998)‎

Imposed Integration within Economic Relationship between the ‎Occupied Palestinian Territories and both of Israel and Jordan ‎‎(1968-1998)‎

Gaber Abu-Game’‎
gaberh9@hotmail.com

Received : 09-03-2005 , Accepted : 28-11-2006
Language: Arabic

Abstract

This study discusses the important aspects of integration within the economic relation between the West Bank and Gaza Strip and both of Israel and Jordan. It discusses three types of integration: customs union with Israel, the integration of Palestinian employment with Israeli labor market, and monetary integration with both of Israel and Jordan. It highlights the Israeli dominance on Palestinian trade on the account of trade with both Jordan, as a traditional historical partner, and the rest of the world (ROW) under the impact of imposed customs union with Israel. In addition, the study shows the dependence of Palestinian employment on Israeli market which has led to the exaggeration of unemployment following the interruption of economic integration since the first Palestinian Intifada in 1987. Moreover, monetary integration with Israel has made the Palestinian economy more affected by disfavourable macroeconomic stabilization policies. Meanwhile, positive effects of Jordanian policies have been very negligible due to the deepness of economic integration between the West Bank & Gaza Strip and Israel.


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