The Central Bureau of Statistics said that the average wage earners' income dropped by one percent in June and reported that the top ten percent of Israeli families last year earned more than 12 times more than the lowest 10 percent. On a per capita basis, the richest people earned 21 times more than the poorest.
The top income bracket also paid 40 times more taxes than those at the bottom of the scale.
Finance Minister Binyamin (Bibi) Netanyahu has claimed that his policy to discourage people from collecting welfare and encourage them to enter the work force eventually will pay off. However, the Bank of Israel stated on Wednesday that economic growth and investment is slowing down.
Netanyahu presented this week his proposed budget for 2006, which assumes a 4.9 percent growth in the economy this year and five percent next year. The Central Bank said that growth this year will be only 4.5 percent. The effect could be less than expected tax revenue for the government and worsening prospects for jobseekers.
The top income bracket also paid 40 times more taxes than those at the bottom of the scale.
Finance Minister Binyamin (Bibi) Netanyahu has claimed that his policy to discourage people from collecting welfare and encourage them to enter the work force eventually will pay off. However, the Bank of Israel stated on Wednesday that economic growth and investment is slowing down.
Netanyahu presented this week his proposed budget for 2006, which assumes a 4.9 percent growth in the economy this year and five percent next year. The Central Bank said that growth this year will be only 4.5 percent. The effect could be less than expected tax revenue for the government and worsening prospects for jobseekers.