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<title>FAFO Report 151</title>

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<h3>Conclusion</h3>

The primary goal of this chapter has been to identify deprived regions and
socio-economic groups with regard to household economic resources. Identification
of such groups must be considered a prerequisite for implementation of public
compensatory measures in other fields in which possession of economic resources
is important, like for example health and education. For reasons discussed
in this chapter's introduction, the main indicator for measuring differences
in household economic resources in the survey is a wealth index especially
constructed for this purpose. The household wealth index shows relative
but not absolute differences in the level of household economic resources.

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The household wealth index clearly demonstrates that Gaza is the region
worst off in the occupied territories. The deprivation of Gaza as a region
is, however, closely related to its high share of economically deprived
refugees. In particular, refugees living in camps are at a disadvantage
compared to other groups, both in Gaza and the West Bank.

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Analyzing results on a household level, there is no clear indication that
poverty increases with the size of families. Household wealth, as expected,
clearly increases with Head of Household education.

<P>
Accurate statistical measurement of income levels for households in the
occupied territories would require a much larger questionnaire, and possibly
extensive application of time-use studies. The section about household income
has thus dealt with types of household income rather than the level of household
income as such.

<P>
Income from labour activity is by a wide margin the most important type
of household income. It is frequently also the only income type received
by the households. Gaza has the lowest regional share of households receiving
income from labour activity. It is reasonable to believe that lower labour
activity in Gaza than in the West Bank and Arab Jerusalem is one of the
major explanations of Gaza's low score on the household wealth index. Taking
the importance of employment as a source of household income into consideration,
providing employment for deprived groups is probably the most cost-effective
remedy available if one wishes to correct the present economic inequalities
in the occupied territories.

<P>
As to recent developments in household economic resources in the occupied
territories, two out of three households report a decline in their income
since the Gulf war. The share of households that report a reduction is highest
among the groups already worst off (Gaza and refugee camps).<BR>
As a concluding remark it may be stressed the extent to which political
events outside the direct influence of household members may have an impact
on the economy of households in the occupied territories. The most important
type of household income, earnings from labour activity, is rendered unstable
by curfews, strikes and restrictions on employment in Israel. The lack of
state-directed economic security arrangements as well as prevailing political
uncertainties, have thus apparently enhanced the importance of the economic
network constituted by the family.

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<a href="_._.html"><img src="../../../../../../../sys/almashriq-bottom-line.gif"alt = "----------------" border= 0></a><p><pre>
<a href="../../../../../../../base/mailpage.html">al@mashriq</a>                       960715</pre>

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