Israel’s gross national product rose by 10 or 11 percent in 1961 to a record of $2,625,000,000, industrial production going up 13 percent over the 1960 figure, and agricultural production rising by 11 percent as against the previous year, the New York Times reported today as part of its world-wide review of last year’s economic developments.
Most of the gains in production, however, were reported due to better productivity by a labor force which expanded only by four percent during the year. Israeli unemployment had dropped to what is called a “rockbottom” level of 6,000 unemployables, and there were shortages of skilled labor.
The “real Achilles heel” of Israel’s economy, the Times stated, is “the persistent deficit” in the country’s foreign trade balance, which was reported having “worsened” last year by $34,000,000; In 1961, exports rose 18 percent to $415,000,000, while imports increased 14 percent to $790,000,000; The Times stated that, in 1961, Israel’s “deficit fattened to $375,000,000;”
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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.
