The Political Economy of Israeli Economic Warfare on the Gaza Strip

This chapter explores how Israel uses economic tools to undermine Gaza’s industries, infrastructure, and overall societal cohesion, positioning the conflict as not just a military struggle but one deeply entrenched in economic manipulation. It delves into Israel’s prolonged and systematic economic warfare on Gaza, framed within the historical context of Israeli-Palestinian relations. Since the Hamas government took control in 2006, Gaza has faced severe economic restrictions, including blockades, trade permit limitations, and dual-use material restrictions, all intended to stifle its economic base. These measures have exacerbated Gaza's dependency on Israel, leading to deteriorating living conditions, widespread poverty, unemployment, and reliance on foreign aid. The analysis highlights the broader geopolitical and humanitarian consequences of these policies, including escalating youth migration, the deepening of political instability, and the strategic weakening of Gaza’s economic and social structures.