Israel’s economy performed poorly in 1982 but Israelis as a whole lived better, if their rate of consumption is a guide to the good life.
Year-end figures released by the Central Bureau of Statistics showed that in 1982, for the first time in 30 years, Israel’s gross national product failed to increase by so much as a decimal point. But purchases of consumer goods were up 16 percent.
The international balance of payments deficit — the difference between Israel’s hard currency reserves and what it owes overseas creditors — increased by a half billion dollars. Real wages declined by three percent on the average; the wages of civil servants were eroded a full six percent in value by triple-digit inflation. But private consumption of all consumables rose five percent.
A treasury spokesman said the economy was not all that bad. He cited stability in exports, employment and increased investments. Israel’s economy is linked to most Western economies which are in almost continuous crisis, he said. But for Israel, 1982 could turn out to have been a “great economic success story.”
The Central Bureau also provided some encouraging data: Increased investments in machinery and industrial equipment and a slight decrease in the number of unemployed.
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