A “fourth round” in the Israel Government’s war on the cost of living is expected to be put into effect shortly, it was announced here today. This action will take the form of price cuts for clothing, footwear, paper, medical supplies, leather goods and metal products.
The cuts are expected to bring down the cost of living index, which dropped another two points in November. The index at the end of November stood at 322 points as compared to last April’s high of 371. The new cuts, it is estimated, will reduce the average family’s monthly budget by one pound. The new price of some foodstuffs will be lower than in 1947.
The projected cuts have been welcomed in the Hebrew press, some sections of which have suggested that the items effected by the price cuts be rationed in order to prevent overbuying because of lower prices. The press also views the greater sums of money in circulation as evidence that the purchasing power of some sections of the population has increased in recent months.
JTA has documented Jewish history in real-time for over a century. Keep our journalism strong by joining us in supporting independent, award-winning reporting.
The Archive of the Jewish Telegraphic Agency includes articles published from 1923 to 2008. Archive stories reflect the journalistic standards and practices of the time they were published.
