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Month of War Leaves Israel with Tricky Economic Outlook

Israel's month-long war with Hamas in Gaza has added fuel to a Palestinian boycott movement and may damage investor sentiment towards Israel at the margins, even if the $250 billion hi-tech economy looks set to emerge largely unscathed. Analysts expect the war to have dented growth and cost several billion dollars - foreign tourism alone fell by 25 percent in July. But Israel has weathered such storms in the past and tends to rebound within a few months, with output expanding at...

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