Under Netanyahu, Impressive Fiscal Policies Turned Into Dismal Failure

The prime minister inherited a deficit equal to 2.2% of the GDP and raised it to 4% in nearly four years. He has no one to blame but himself.

The global financial crisis erupted in full force in September of 2008 with the collapse of Lehman Brothers investment bank. Up to that crisis point, the Israeli economy was enjoying unprecedented success. The Olmert government, with Roni Bar-On as finance minister, managed to balance its budget in 2007 and achieve a surplus in 2008. The deck was reshuffled in September of that year, and the surplus for 2008...