Restricting Factors And Promoting Factors In Israel's Economic Development

From the founding of the state to the 1990s of last century, Israel made wonderful achievements in its economic development in less than 50 years. The achievements were obtained under the severe conditions of limited domestic resources, narrow market and constant warfares and conflicts. It is worth mentioning that the golden period of Israel's economic development was from 1948 to 1973. This period was marked as the most intense time because wars between Israel and Islamic world were launched for four times. Therefore, the Israel's economic development is more significant than that of other developed countries in the world. Studying of its economic development is not only a theoretical issue, but is of realistic significance.The subject of the study is to explore the restricting and promoting factors in Israel's economic development. After analyzing the factors, the thesis focuses on the development of Israel's soft power—National resources. Apparently, there are many factors restricting Israel's economic development, natural resources, ethnic and religious problems, wars, immigration, and domestic political environment, to name but a few. Israel, however, based on the advantage of its national resources, fosters its own strength by transforming some restrictive factors to promoting factors, which is a unique characteristic in Israel's economic development. In particular, Israel achieves a double interaction between wars and economic development. The first part is the introduction, which briefs on the purpose and significance of present study, foreign and domestic studies on this topic and the theoretical framework and studying methods of the thesis.The second part covers five chapters. The first chapter introduces the evolution of Israel's economic development process and development model. After describing the four development stages since the founding of the country, the thesis gives a detailed description of three-stage evolution of Israel's economic development. The second chapter focuses on the restrictive factors in its economic development, including internal and external factors. The third chapter is the body of the thesis, focusing on the promoting factors in Israel's economic development. The promoting factors are divided into subjective invisible factor and objective concrete factor. Both factors should be stressed to promote the economic development. The fourth chapter continues to make a comprehensive analysis of the restrictive factors and promoting factors. The author first conducts a comparison between restrictive factors and promoting factors, then exploring the development of soft power in terms of its national resources. The fifth chapter makes some reflections on Israel's economic development. Firstly, a theoretical thinking of Israel's economic modernization is analyzed from both internal and external conditions; secondly, some lessons are drawn from Israel's successful example, which may provide useful suggestions for developing countries.The third part is the conclusion. When we explore the reasons why Israel makes such a extraordinary achievements in economic development, we should stress the organic unity of subjective invisible factors and objective concrete factors.