Abstract
The spread of ‘two-digit inflation’ to many parts of the Western world has led in recent years to greatly increased interest in the possible use of indexation to deal with some of the problems which arise in connection with inflation that proceeds relatively at such a rapid rate. It is accordingly the purpose of this paper to indicate in broad lines what lessons we can learn about indexation from Israel’s thirty-five years of experience with it.1
This is a preview of subscription content, log in via an institution to check access.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
Preview
Unable to display preview. Download preview PDF.
References
W. Baer and P. Beckerman, ‘Indexing in Brazil’, World Development, Vol. II, No. 10–12 (October–December 1974), pp. 35 – 47.
U. Bahral, The Effect of Mass Immigration on Wages in Israel. (Jerusalem: Falk Project, 1968).
M. Beham, Monetary Aspects of the 1962 Devaluation. (Jerusalem: Falk Project, 1968).
H. Ben-Shahar, Interest Rates and the Cost of Capital in Israel, 1950 – 1962. (Basel: Kyklos-Verlag, 1965).
H. Ben-Shahar, S. Bronfeld and A. Cukierman, ‘The Capital Market in Israel’ in Israel and the Common Market, ed. Pierre Uri. (Jerusalem: Weidenfeld and Nicolson, 1970).
M. Ben-Shahar and A. Cukierman, ‘The Rate of Return on Index Bonds and the Expectations for Devaluation and Changes in Price Level until 1962’, Bank of Israel Economic Review No. 32 (1969).
R. Brenner and S. Bronfeld, ‘Index Bonds — a liquid Asset’, Bank of Israel Economic Review (1975).
P. Cagan, ‘The Monetary Dynamics of Hyperinflation’ in Studies in the Quantity Theory of Money ed. Milton Friedman. (Chicago; University of Chicago Press, 1956).
A. Cukierman, ‘A Study on the Formation of Inflationary Expectations in Israel’. Tel-Aviv University, The Foerder Institute for Economic Research, Working Paper No. 24 (1973).
A. Cukierman, ‘Index—Linked Mortgages in Israel’, Federal Reserve Bank of Boston Conference Series (forthcoming).
Y. Findling, ‘The History of the Cost-of-Living Allowance’ unpublished seminar paper, Department of Economics, The Hebrew University of Jerusalem,(1975). (Hebrew)
S. Fischer, ‘The Demand for Indexed Bonds’, Journal of Political Economy, Vol. LXXXIII. No. 3, pp. 509 – 534 (1975).
G. Fishelson, ‘An Inquiry into some Aspects of the Labor Market in Israel’ in Israel and the Common Market, ed. Pierre Uri. (Jerusalem-Weidenfeld and Nicolson, 1970).
A. Fishlow, ‘Indexing Brazilian Style: Inflation without Tears?’ Brookings Papers on Economic Activity, No. 1; pp. 261–282 (1974).
N. Halevy, ‘Exchange Control in Israel’ in Israel and the Common Market ed. Pierre Uri. (Jerusalem: Weidenfeld and Nicolson, 1970)
N. Halevy and R. Klinov-Malul, The Economic Development of Israel. (New York: Bank of Israel and Praeger, 1968).
D. Horowitz, ‘Cost-of-Living Allowance’, Yediot Aharonot (15th August, 1975), p. 11. (Hebrew)
E. Kleiman, ‘The Cost-of-Living Allowance and Economic Policy’ Haaretz (8 July 1964). (Hebrew)
E. Kleiman, ‘Inflation and the Distribution of Public Capital’ Quarterly Economic Review, No. 83 (1974). (Hebrew)
N. Liviatan and D. Levhari, ‘Risk and the Theory of Index Bonds’ Hebrew University of Jerusalem. Department of Economics, Work’ing Paper No. 67 (1975).
M. Michaely, Israel’s Foreign Exchange Rate System. (Jerusalem: Falk Project, 1968).
A. Morag, Public Finance in Israel: Problems and Development. (Jerusalem: The Magnes Press, 1967). (Hebrew)
A. Morag, On Taxes and Inflation. (New York: Random House, 1965).
A. Morag, ‘Value linking of Loans in Israel’ in Fiscal and Monetary Problems in Developing States. Proceedings of the Third Rehovot Conference ed. David Krivine. (New York: Praeger, 1967).
R. R. Nathan, O. Gass and D. Creamer, Palestine: Problem and Promise. (Washington: Public Affairs Press, 1946).
D. Patinkin,‘Monetary and Price Developments in Israel: 1949 – 1953’, Scripta Hierosolymitana. III, Jerusalem, 1956. As reprinted in Studies ’ in Monetary Economics. (New York: Harper and Row, 1972).
D. Patinkin, The Israel Economy: The First Decade. (Jerusalem: Falk Project, 1960).
D. Patinkin, Money, Interest and Prices. 2nd ed. (New York: Harper and Row, 1965).
D. Patinkin, ‘What Advanced Countries Can Learn from the Experience with Indexation’, Proceedings of a Conference on Indexation: Sao Paulo, February 1975, National Bureau of Economic Research (1976) forthcoming.
A. Rubner, The Economy of Israel. (London: Frank Cass, 1961).
A. Rubner, ‘The Abdication of the Israeli Pound as a Standard of Measurement for Medium and Long-Term Contracts’, Review of Economic Studies, Vol. XXVIII, pp. 69 – 75 (1960–61).
M. Sarnat, Saving and Investment Through Retirement Funds in Israel. (Jerusalem: Falk Project, 1966(a)).
M. Sarnat, The Development of the Securities Market in Israel. (Basel: Kyklos-Verlag, 1966(b)).
D. A. Valery, ‘Effective Rates of Exchange in Israel’s Foreign Trade 1962 – 70, Bank of Israel Economic Review No. 39 (1972).
Bank of Israel Annual Report, Jerusalem.
Central Bureau of Statistics Statistical Abstract of Israel, Jerusalem.
Economic Planning Authority.Israel Economic Development: Past Progress and Plan for the Future(Jerusalem: Prime Minister’s Office, 1968).
The Jewish Agency for Palestine, Statistical Handbook of Jewish Palestine, Department of Statistics (1947), p. 318.
Report of the Committee to Examine the Cost of Living Allowance Arrangement (Jerusalem, 1975). (Hebrew)
Report of the Committee of Experts Inquiring into the Cost of living Allowance (Tel-Aviv, 1966). (Hebrew)
Report of the Joint Committee on Problems of Wage Adjustment, (Tel-Aviv, 1942). (Hebrew)
Report of the Public Committee on the Indexation of Government Loans (Jerusalem, 1955). (Hebrew)
Report of the Public Committee on the Indexation of Government Loans (Jerusalem, 1959). (Hebrew)
Author information
Authors and Affiliations
Editor information
Copyright information
© 1977 International Economic Association
About this chapter
Cite this chapter
Brenner, R., Patinkin, D. (1977). Indexation in Israel. In: Lundberg, E. (eds) Inflation Theory and Anti-Inflation Policy. International Economic Association Series. Palgrave Macmillan, London. https://doi.org/10.1007/978-1-349-03260-0_15
Download citation
DOI: https://doi.org/10.1007/978-1-349-03260-0_15
Publisher Name: Palgrave Macmillan, London
Print ISBN: 978-1-349-03262-4
Online ISBN: 978-1-349-03260-0
eBook Packages: Palgrave Economics & Finance CollectionEconomics and Finance (R0)