ABSTRACT

University economists advise the government, write for the popular press, and find defects in each government policy—sometimes minutes after the latest policy has been made public. Economists, other option makers, and critics seemed more nearly part of the problem than likely sources of solution. Israeli policymakers have proven themselves more capable in issues of defense than in issues of economic policy. Some Israelis think that the economic problems of their society result from the way the citizens choose their representatives in the Knesset. Proportional representation has been effective in translating into the Knesset the political divisions that exist in the electorate. One proposal is to retain proportional representation but to increase the minimum percentage of votes that a party must win inorder to receive seats in the Knesset. Part of the explanation was a greater than normal willingness of leading politicians to deny economic benefits to claimants among their supporters.