The Arab enclaves that exist within Israel constitute a definite economic unit. Despite linkages and subservice to the national economy the region exhibits a range of independent production and consumption modes that suggest potential economic developmental viability. The author considers the historical background of these enclaves and the actual extent of the independent Arab sector in the Israeli economy. Applying modern economic analysis, he develops his thesis of the future development of a distinctive Arab path of economic development in Israel. Agriculture, industry, commerce,...