Israeli Arabs, Economy

Globes: Israeli Arab incomes increase faster than Jewish incomes in last decade

The increase in income comes thanks to a number of factors, especially the doubling of the number of Israeli Arab women in the workforce.

Israeli Arab construction workers. (Photo: Flash90)

A recent study by the Aaron Institute for Economic Policy shows that Israeli Arab incomes have increased an average of 4% a year in the decade of 2012-2022, compared to just 2.6% for non-Haredi Arabs, according to Globes.

The average is based on the incomes of all working Israeli Arab men and women aged 25-64, meaning that the increase in workers during that time did not decrease average salary but even increased it.

Two factors appear to have played a major role in this change: slashing of family subsidies alongside government development funding, and the doubling of Israeli Arab women working - from 22.7% to 45.1%.

There are reportedly downsides to this, especially in the increase in crime and extortion of those now making a better living. But the authors of the report still emphasize that the trend is very positive.

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