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Abstract
A historical analysis of the financial assistance given by the State of Israel
to the kibbutzim during the 1960s and 1970s exposes an intriguing contrast,
between the capacity of this assistance to help the kibbutzim endure economic
difficulties on the one hand, and the deep dependence which it created, on
the other. Based on historical-archival sources, the analysis of Concentrated
Credit System suggests a re-evaluation of the historical roots of the current
crisis besetting the kibbutz economy. Exemplifying an "artificial respiration"
to a cooperative system which was traditionally endowed with a high national-political
preference, this form of financial support demonstrates the complex
dependence relationship between the State and the cooperative organization.