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An Economy in Conflict Page 6 Sam Perlo-Freeman The Economics of Vol. 3, No. 2 (2008) Peace and Security Symposium: Palestine — an economy in Journal conflict Sam Perlo-Freeman: introduction to the symposium © www.epsjournal.org.uk Aamer S. Abu-Qarn on economic aspects of sixty years of the Arab- ISSN 1749-852X Israeli conflict Atif Kubursi and Fadle Naqib on Israeli economicide of the West A publication of Bank and Gaza Strip Economists for Peace Osama Hamed on the de-development of the Palestinian economy and Security (UK) Jennifer C. Olmsted on Post-Oslo Palestinian un/employment by gender, class, and age cohort Numan Kanafani and Samia Al-Botmeh on food aid to Palestine Basel Saleh on economic causes of the fragility of the Palestinian Authority Articles Siddharta Mitra on poverty and terrorism Raul Caruso and Andrea Locatelli on al Qaeda and contest theory Pavel A. Yakovlev on saving lives in armed conflicts Nadège Sheehan on U.N. peacekeeping Editors Jurgen Brauer, Augusta State University, Augusta, GA, U.S.A. J. Paul Dunne, University of the West of England, Bristol, U.K. The Economics of Peace and Security Journal © www.epsjournal.org.uk, ISSN 1749-852X A publication of Economists for Peace and Security (UK) Editors Associate editors Aims and scope Jurgen Brauer Michael Brzoska, Germany Keith Hartley, UK This journal raises and debates all issues related to Augusta State University, Augusta, GA, USA Neil Cooper, UK Christos Kollias, Greece the political economy of personal, communal, J. Paul Dunne Lloyd J. Dumas, USA Stefan Markowski, Australia University of the West of England, Bristol, UK Manuel Ferreira, Portugal Sam Perlo-Freeman, Sweden national, international, and global peace and David Gold, USA Thomas Scheetz, Argentina security. The scope includes implications and Ô Web editor Gülay Günlük- enesen, Turkey Elisabeth Sköns, Sweden ramifications of conventional and nonconventional Peter Hall, Australia Ron Smith, UK Alvin Birdi conflict for all human and nonhuman life and for Geoff Harris, South Africa Herbert Wulf, Germany University of Bristol, Bristol, UK our common habitat. Special attention is paid to Advisory board constructive proposals for conflict resolution and Book reviews editor Wolfram Elsner, Germany John Tepper Marlin, USA peacemaking. While open to noneconomic Bjørn Møller Jacques Fontanel, France Philip Verwimp, Holland/Belgium approaches, most contributions emphasize Danish Institute for International Studies, Copenhagen, James Galbraith, USA David Throsby, Australia Denmark economic analysis of causes, consequences, and Michael D. Intriligator, USA Ruslan Grinberg, Russia possible solutions to mitigate conflict. Richard Kaufman, USA History of thought editor The journal is aimed at specialist and Fanny Coulomb EPS trustees nonspecialist readers, including policy analysts, University Pierre Mendes France, Grenoble, France George Akerlof* Daniel L. McFadden* policy and decisionmakers, national and Oscar Arias* Robert S. McNamara international civil servants, members of the armed Kenneth J. Arrow* Douglass C. North* forces and of peacekeeping services, the business William J. Baumol Robert Reich community, members of nongovernmental Barbara Bergmann Thomas Schelling* Andrew Brimmer Amartya Sen* organizations and religious institutions, and others. Sir Clive Granger* William Sharpe* Contributions are scholarly or practitioner-based, Walter Isard Robert M. Solow* but written in a general-interest style. Sir Richard Jolly Joseph E. Stiglitz* Articles in The EPS Journal are solicited by Lawrence R. Klein* Janet Yellen Eric Maskin* (*Nobel Laureate) the editors and subject to peer review. Readers are, however, encouraged to submit proposals for articles or symposia (2 to 4 articles on a common theme), or to correspond with the editors over specific contributions they might wish to make. In addition, comments on published articles (<500 words) are welcome. Write to us at [email protected] or contact us via the journal’s home page at www.epsjournal.org.uk. The Economics of Peace and Security Journal, ISSN 1749-852X Contents and abstracts p. 3 © www.epsjournal.org.uk – Vol. 3, No. 2 (2008) Vol. 3, No. 2 (2008) – Contents Abstracts page 4 Comments and replies as well as book reviews and books available for review are posted on our web site at www epsjournal.org.uk. Symposium: Palestine — an economy in conflict page 6 Sam Perlo-Freeman Six decades of the Israeli-Arab conflict: an assessment of the economic aspects page 8 Aamer S. Abu-Qarn The Palestinian economy under occupation: economicide page 16 Atif Kubursi and Fadle Naqib The continued de-development of the Palestinian economy in the post-Oslo period page 25 Osama Hamed Post-Oslo Palestinian (un)employment: a gender, class, and age cohort analysis page 33 Jennifer C. Olmsted The political economy of food aid to Palestine page 39 Numan Kanafani and Samia Al-Botmeh The fragility of the Palestinian Authority: economic causes page 49 Basel Saleh Poverty and terrorism page 57 Siddharta Mitra Deadly contests: an economic note on al Qaeda’s reward system page 62 Raul Caruso and Andrea Locatelli Saving lives in armed conflicts: what factors matter? page 68 Pavel A. Yakovlev United Nations peacekeeping: limitations and prospects page 74 Nadège Sheehan The Economics of Peace and Security Journal, ISSN 1749-852X Contents and abstracts p. 4 © www.epsjournal.org.uk – Vol. 3, No. 2 (2008) Abstracts workers in Israel to return to its pre-2000 level. Hence, the revitalization of the Palestinian economy will require huge private investment. Such investment cannot be expected without a permanent settlement of the Palestinian-Israeli conflict that Sam Perlo-Freeman. “Symposium: Palestine — an economy in conflict.” An includes a Palestinian state with control over its borders and a strong link with introduction to the symposium. diaspora Palestinians. Aamer S. Abu-Qarn. “Six decades of the Israeli-Arab conflict: an assessment of the Jennifer C. Olmsted. “Post-Oslo Palestinian (un)employment: a gender, class, and economic aspects.” The article critically evaluates the literature that deals with the age-cohort analysis.” A strong Palestinian economy in the aftermath of the 1993 Oslo economic aspects of the Israeli-Arab conflict. The survey covers: (1) data issues and agreement has not materialized. This has had serious implications for employment lack of trustworthy time series; (2) the existence and causal direction of an arms race outcomes in the West Bank and Gaza Strip. A number of authors have analyzed between Israel and its Arab neighbors; (3) the defense-growth nexus and possible Palestinian labor markets during this period, but have focused almost exclusively on spillovers from the defense industry to civilian sectors; (4) the effects of foreign aid; men’s employment. This article examines changes in both women’s and men’s and (5) the dividends of a possible peace agreement. The survey concludes with employment patterns in the post-Oslo period. It finds considerable shifts in the types recommendations for future research. of work that are available, with more educated, older men in particular gaining at the expense of youth, women, and less educated men. This, it is argued, is a function of Atif Kubursi and Fadle Naqib. “The Palestinian economy under occupation: Israeli, Palestinian, and U.S. policies. Economic ties between Israel and the economicide.” The article presents an analysis of the nature, structure, and dynamics Palestinian territories have been severed, to the detriment of less educated Palestinian of the relation between the Israeli and Palestinian economies as they have evolved men and women in search of employment. U.S. policies no doubt exacerbated this during the occupation period and the few short years of limited Palestinian self-rule. result, granting Jordan more favored trade status as part of the peace plan, thus It reveals the various asymmetries and anomalies in the relation, the way they have contributing to the decline in the Palestinian textiles and apparel industries. The affected the course of the Palestinian economy, the costs that have been incurred by creation of a Palestinian public sector has led to some job creation, but primarily for Palestinians, and the benefits that have accrued to Israelis from their continuation. It more educated individuals, not those who were most likely to have lost their jobs in is argued that the removal of these anomalies and asymmetries are a prerequisite for recent years. any serious and genuine peace that would permit the economic infrastructure to promote and support a stable and durable peace. Divided into four sections, the article Numan Kanafani and Samia Al-Botmeh. “The political economy of food aid to provides the theoretical framework within which the relationship between the two Palestine.” The article discusses the growing food insecurity and malnutrition in the economies is analyzed; documents and examines specific practices and policies of West Bank and Gaza Strip, addressing both economic and physical factors such as successive Israeli governments with regard to the Palestinian economy; summarizes unemployment and destruction of land and property, and closures, checkpoints, and the cumulative effects of these specific restrictive practices; and closes with the the separation barrier. It also discusses the scope and nature of food aid provided by presentation of some conclusions. Palestinian and international organizations, and argues that lest substantial sections of the Palestinian population become permanently dependent
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