The Market Goes “Underground”

Here’s a lesson about social policies, politics and economics. In Gaza, tunnels used for smuggling goods have become the major supply line, and an industry in themselves. The market will provide, it will always provide. The question is, how do you use the power of the market to get the other results you want?

In this case, it is pretty clear to me that be blockading Gaza on the Israeli border, the Israeli authorities have lost their capacity to control smuggling, not to mention lost tons of tax revenue and economic activity for Israeli businessmen. Clearly, Not Plan A.


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