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The Princeton Economic History of the Western World #73

The Mystery of the Kibbutz: Egalitarian Principles in a Capitalist World

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How the kibbutz movement thrived despite its inherent economic contradictions and why it eventually declined

The kibbutz is a social experiment in collective living that challenges traditional economic theory. By sharing all income and resources equally among its members, the kibbutz system created strong incentives to free ride or―as in the case of the most educated and skilled―to depart for the city. Yet for much of the twentieth century kibbutzim thrived, and kibbutz life was perceived as idyllic both by members and the outside world. In The Mystery of the Kibbutz , Ran Abramitzky blends economic perspectives with personal insights to examine how kibbutzim successfully maintained equal sharing for so long despite their inherent incentive problems.

Weaving the story of his own family’s experiences as kibbutz members with extensive economic and historical data, Abramitzky sheds light on the idealism and historic circumstances that helped kibbutzim overcome their economic contradictions. He illuminates how the design of kibbutzim met the challenges of thriving as enclaves in a capitalist world and evaluates kibbutzim’s success at sustaining economic equality. By drawing on extensive historical data and the stories of his pioneering grandmother who founded a kibbutz, his uncle who remained in a kibbutz his entire adult life, and his mother who was raised in and left the kibbutz, Abramitzky brings to life the rise and fall of the kibbutz movement.

The lessons that The Mystery of the Kibbutz draws from this unique social experiment extend far beyond the kibbutz gates, serving as a guide to societies that strive to foster economic and social equality.

360 pages, Hardcover

First published February 13, 2018

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Ran Abramitzky

3 books17 followers

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Displaying 1 - 12 of 12 reviews
Profile Image for Petra watched Buddhist nuns learn dancing today.
2,489 reviews35.8k followers
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April 23, 2018
I was thrown off three kibbutzim. The first because of sex n drugs n rock n roll (suspected. There weren't actually any drugs involved, but there was a murder). The second because I wouldn't marry someone and had a fit and threw a lot of aluminium milk jugs at the boss of the kitchen (they were very light, no damage to the guy, not so sure about the jugs). There was a suicide involved. The third, well my bad reputation preceded me. But no-one died.


Profile Image for Marc Menz.
73 reviews7 followers
April 27, 2020
Learned a lot from the book (as someone who knew very little about the intricacies of Kibbutzim). Solid read on both the history and economics of Kibbutzim. The book however got a little repetitive at times and the author kept pushing particular points continually. In fact it felt as though the data was quite thin and that the author tried hard to stretch out the book to 300 pages. I would have liked a little more of the anecdotal story telling and personal struggles of the author both in and out of the Kibbutz lifestyle.

Regardless, the analysis was thorough and rich with data and charts. Chapter 11 could have been a couple of pages - I'm not sure those keen to learn about Kibbutzim really care too much to make a connection to the North American communes or 'cults' such as the Amish. In my opinion it would have been much more useful to make deeper comparisons to social democratic nations and policies such as in Scandinavia. And finally, having paid over $50 for the hardcover book in Australia, I felt it was overpriced for what it was, and for this rate it 3.5 stars.
Profile Image for Conrad.
140 reviews10 followers
September 2, 2022
The Mystery of the Kibbutz is, well, a mystery. It often reads like an economic textbook, mumbling on about free-riding, shirking and adverse-selection and including entire regression-tables. It sometimes feels like economics-class all over again. And yet, it is a good and thoroughly interesting read. Thankfully, Ran Ambramitzky choses to add his personal backstory and delve deeper into the rich history of the Kibbutz. Though this practice is frowned upon in economics, it succeeds in providing colour to an otherwise black-and-white affair.

The book starts with the assumption that the reader doesn't know a lot about Kibbutzims, which is a smart move as I think most of us aren't very knowledgeable on the topic. Combining his backstory with an economic framework which he continuously test adds substance in a very valuable manner. The book has its shortcomings though, namely that Ran Abramitzky often draws mayor conclusions on the basis of limited data(sets) and that the book is a bit too long (the part on other communes in the US could have been omitted in my opinion). However, the negatives don't significantly diminish the pleasure, and I would recommend the book for those who are interested in economics and history. Don't let the numbers, graphs and regression-tables scare you.
Profile Image for Wej.
279 reviews8 followers
November 17, 2019
This is a great book. It combines personal story with economic analysis, history of Israel, and research on (in)equality. Some chapters are written almost like a research article and include regression tables, but this only shows how well this book was researched. This element might put off readers who are not used to this kind of analysis, but I consider it very useful. The author described the history of kibbutzim (plural of kibbutz), their flourishing and fall following the financial crisis in the 1980s. There was even one chapter about US religious and secular communities and reason why they (mostly) failed.
I learned a great deal about the history of the movement, but also about how informative kibbutzim were for economists. In brief: kibbutzim started as very equal, but gradually abandoned some of their egalitarian principles. Being a large scale experiment in voluntary socialism, kibbutzim provided economic lessons that can be applied in other settings (they were summarised in Chapter 12).
Profile Image for Pablo Paniagua Prieto.
108 reviews6 followers
January 15, 2024
Fascinating account on how communal orders and local communities such as Kibbutz can govern themselves to avoid free-riding, adverse selection and other problems. The book deploys institutional analysis, political economy and quantitative evidence to show how kibbutz were able to govern themselves and maintain some socialist features such as equal pay and equal share of resources. The only shortcoming of the book is that it argues that 'kibbutz' were socialist, but in reality Kibbutz were able to accumulate capital, invest in financial markets, sell their products on international markets, make profits, etc; they even got subsidies and low-interest loans from the state to operate. In other words, these 'socialist' islands actually piggy-backed on an entire capitalist ecosystem which made them more viable that they actually were. Alas the author is mostly silent on this 'shady' aspects.
Profile Image for Nuno Gomes.
33 reviews4 followers
February 3, 2020
I loved the book. It made me travel back to the 8th grade when I studied the moshavs and Kibbutz in geography and history at school.
Interesting combination of a thorough economic analysis of the kibbutz with the personal touches of how the author himself interacted with the kibbutz throughout his life. Also interesting comparison with other religious and non-religious communes of the united states.
Some of the topics and views are repeated several times throughout the book, which could have been prevented by better edition of the final book.
Profile Image for Yenta Knows.
647 reviews2 followers
June 2, 2023
I haven’t finished this book. I am marking it finished so I can make comments as I read.

Very worthwhile to get insight into Israeli thinking. I made my first trip to Israel six weeks ago, I am still processing what I experienced.

Author several times references dramatic change in political and economic culture that occurred with election of Menachem Begin in 1977, but never explains why this change occurred. He also doesn’t mention Begin by name, this is something I’m adding from my own knowledge.

Story of his own family offers valuable insight and “heart” to his economic analysis.

There are certainly times when I see the author has been blinded by the capitalist Kool Aid he swallowed in economics classrooms, as when, on page 60, he asserts that different people earn different amounts because of differences in their “talent and effort.”

This is only partly right. The most talented and energetic garbage collector collects a smaller paycheck than a stupid, lazy physician. There are structural limits that no individual can overcome.

This was an economic analysis, so didn’t delve into the psychological or sociological aspects of kibbutz life. But I did learn enough to determine that I wouldn’t have fit in. Partly because, like most Americans, I am too selfish and too private. But the killer would be my sensitive personality: I would agonize over perceived slights and mistreatments, I would be devastated by critical gossip, I would avoid persons who had, in my estimation, been harsh or unfair.

Profile Image for An Seachránaí.
18 reviews3 followers
March 26, 2024
Some interesting analysis and a brief overview of how a kibbutz works. The analysis however takes the kibbutz in isolation and doesn't discuss the colonial nature of the project and how its longevity has been on the back of plunder from Palestinians. The author's own neoliberal economic viewpoints are often presented as fact throughout
396 reviews
March 2, 2020
I read this after hearing Ran talk on EconTalk. I think I would have preferred to just listen to the podcast. I do remember about how financial crises shaped the Kibbutzim, but I learned that from the talk as well. It's a summary of a lot of his academic papers...
7 reviews
January 8, 2024
Repetitive

An interesting explanation of the Kibbutz. However the book needs better editing as there is to much repetition. In addition the economic methodologies should be relegated to the chapter appendices.
Profile Image for Santiago López Moskovits.
71 reviews
July 11, 2024
Abramitzky failed to convincingly translate insights from his research on a very interesting subject to a more broad and general view of it. The book is poorly written, it is too repetitive, and doesn't explain key points well enough to be a truly informative read.
Displaying 1 - 12 of 12 reviews