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Ensuring tax and transfer systems bring sufficient revenue to reach macroeconomic fiscal targets, address societal goals in re-distribution and social welfare, recognise the influence taxation has on businesses’ competitiveness and adequately address environmental externalities is a tough challenge, arguably more so in Israel than in many other OECD countries.
The average worker in Israel faced a tax burden on labour income (tax wedge) of 20.7% in 2013 compared with the OECD average of 35.9%. Israel was ranked 31 of the 34 OECD member countries in this respect.
English, PDF, 317kb
This note presents key findings for Israel from Society at a Glance 2014 - OECD Social indicators. This 2014 publication also provides a special chapter on: the crisis and its aftermath: a “stress test” for societies and for social policies.
Israel’s output growth remains relatively strong and unemployment is low. However, living standards remain well below those of top ranking OECD countries, the rate of relative poverty is high, and there are environmental challenges.
Mr. Angel Gurría, Secretary-General of the OECD, was in Israel, on an official visit, on 8 December 2013, to present the OECD Economic Survey of Israel and participate in the Israel Business Conference.
Israel’s economy is in good shape, but further efforts are needed to fight poverty and close the gap in living standards with other leading nations, according to the OECD’s latest Economic Survey of Israel.
With the right policies, narrower socio-economic divides and higher levels of well-being are well within Israel’s reach. Raising educational standards and encouraging employment, maintaining sound monetary policy and a responsible fiscal trajectory, pressing on with structural reforms that encourage innovation, competition and creativity – these are all central to achieving sustained, inclusive growth.
Individual country notes assessing how regions and cities contribute to national growth and the well-being of society.
These country notes contain indicators which compare the political and institutional frameworks of national governments as well as revenues and expenditures, employment, and compensation. They include a description of government policies on integrity, e-government and open government.
English, PDF, 1,750kb
How's Life? 2013 - Country note - Israel (PDF)