Political report of the Executive of the Jewish Agency submitted to the ... Zionist Congress and the ... session of the Council of the Jewish Agency · 1937-08-01 · 8.1937 · p. Seite 7

produced a state of panic in Palestine, which expressed itself in a run on some of the banks and in an appreciable contraction of credits. For the first time since 1932 Jewish workers found themselves out of employment, mainly owing to the slowing down of building activities. The provisional Executive appointed for the duration of the Lucerne sessions made successful efforts to calm the public, to organise assistance for the Jewish banks affected and to secure the cooperation of Government in meeting the emergency. But although the run on the banks soon came to an end and unemployment ceased to increase and remained stationary at a figure below the proportions of a normal labour reserve, a state of economic uncertainty continued for some time. 5. When the crisis occurred, the material for the submission of the autumn schedule of 1935 had already been prepared, based as always on the results of a periodical investigation of employment prospects carried out by the Jewish Agency jointly with the Government Department of Migration. The changed circumstances necessitated a revision of the data, and the submission of the schedule was accordingly postponed. Meanwhile, at the begining of November 1935, the Jewish Agency applied for an advance on the schedule which, after considerable hesitation, was granted by the Officer* Administering the Government early in December to the extent of 1,000 certificates. Shortly after that, the application for the substantive schedule was submitted. The original estimates of the Jewish Agency were reduced on account of the events of the atumn and their effect on economic life, and a total of 10,900 certificates was applied for. The Jewish Agency was able to refer in its schedule memorandum to the remarkable powers of recuperation which the Jewish economy in Palestine had shown and to point to the fair prospects of a complete liquidation of the autumn dislocation and the resumption of the upward trend or economic development Which seemed then to be well within sight. Government's decision on the schedule was announced in mid-December. The absorptive capacity was estimated by Government at 4,450 workers, from which a deduction of 1,200 was made on account of travellers remaining in the country illegally. The net schedule was thus fixed at 3,250. The strenuous efforts made by the Executive to prevail upon Government to forego this time the deduction in respect of illicit settlement in view of the negligible proportion to which it had