The economic history of modern Palestine: how much of a failure?

Abstract

The Palestinian economy is now devastated, although having an excellent geographic location and ideal sociodemographic characteristics. The deterioration and dismembering of its productive capacity has been unprecedented. The last 100 years of permanent economic decline have resulted in general impoverishment, deformation of its sectorial structure and record unemployment. A general overview of its modern economic history in comparison to Israel and other Middle Eastern economies offers a unique perspective to assess the dimensions, causes and consequences of this great failure.