Abstract
In this paper we investigate some of the ways in whichshort-term variations in the magnitude of politicalinstability can impact on macroeconomic performance, takingthe example of Israel since 1987. Several indicators ofpolitical instability are found to have a significant impacton aggregate consumption and savings, and explain a large partof poor Israeli savings performance over recent years.
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Fielding, D. Counting the Cost of the Intifada: Consumption, Saving and Political Instability in Israel. Public Choice 116, 297–312 (2003). https://doi.org/10.1023/A:1024831518541
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DOI: https://doi.org/10.1023/A:1024831518541