Six decades of the Israeli-Arab conflict: an assessment of the economic aspects

Aamer S. Abu-Qarn ()

Economics of Peace and Security Journal, 2008, vol. 3, issue 2, pages 8-15

Abstract: The article critically evaluates the literature that deals with the economic aspects of the Israeli-Arab conflict. The survey covers: (1) data issues and lack of trustworthy time series; (2) the existence and causal direction of an arms race between Israel and its Arab neighbors; (3) the defense-growth nexus and possible spillovers from the defense industry to civilian sectors; (4) the effects of foreign aid; and (5) the dividends of a possible peace agreement. The survey concludes with recommendations for future research.

Date: 2008

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