|
Economic advice to the Government
|
|
|
The main function of the Bank's Research Department is to assist the
Governor in his role as economic advisor to the government and in shaping
monetary policy. Research undertaken by the department's economists
ranges over many areas, including the capital market, the balance of
payments, prices, the principal industries and the labor market, as well as
subjects related to the government's budget and economic policy.
|
|
|
Research activities can be divided into three main sections:
|
|
 |
Monitoring and analyzing developments in the Israeli economy: the main
results are published in the Bank of Israel's
Annual Report
, which is submitted
to the government and the Finance Committee of the Knesset, as required by
law, and in the quarterly booklet
Recent Economic Developments
.
|
|
|
The Research Department also carries out and publishes the results of a
quarterly survey
of some 750 manufacturing firms and 300 companies in a
variety of other industries, and publishes a
monthly state-of-the-economy index.
|
|
| |
Recommending economic policy: the economists of the department
participate in shaping economic policy and preparing the national budget
(together with the Ministry of Finance and the Prime Minister's Office). The
department also formulates economic initiatives in accordance with the
changing needs of the economy. Some examples of this in the last few years
are the economic stabilization program, the economic program for immigrant
absorption, and the reforms in the money and capital markets. The
department also examines policy proposals put forward by other
organizations, and participates in formulating the Bank's response to them.
|
|
| |
Undertaking basic research: the department's economists study different
issues related to Israel's economy. Their research is published regularly in a series of
Discussion Papers,
in the Bank of Israel's
Economic Review (hebrew),
Israel Economic Review (IER)
and in other professional journals published in Israel and abroad.
|
|
|
The Research Department also makes available to the public current data on the economic situation, using
tables
and data
series.
|
About the Bank of Israel