Summary of Delivering on Economic Prosperity in Israel

How Monopolies Are Hampering the “Start-Up Nation”

Brookings Institution,

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Delivering on Economic Prosperity in Israel summary
Despite Israel’s vibrant economy, an elevated cost of living squeezes its middle class.


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Israel’s economy – a fertile incubator for tech start-ups, perhaps rivaled only by Silicon Valley – stands out for excessive market concentrations across most of its industrial and service sectors. According to economist Dany Bahar, the Israeli middle class isn’t benefiting from the nation’s vibrant economy due to its high consumer prices, partly the result of monopolies. Thus, Israelis advocate political efforts to lower their cost of living. getAbstract recommends this insightful article on Israel’s economic challenges to analysts, policy makers and executives.

In this summary, you will learn

  • What causes Israel’s high consumer prices and
  • What economic reforms the government should undertake.


On the surface, Israel appears to have a healthy economy. Its R&D spending, as a percentage of GDP, is the highest of any country in the world. This nurtures entrepreneurship and tech start-ups. Israel enjoys growth and macroeconomic stability, yet its middle class is missing out on prosperity. ...
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About the Author

Dany Bahar is a global economy and development fellow at the Brookings Institution.

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