Worrisome data predicting a wave of price hikes in the economy have been sitting on Finance Minister Moshe Kahlon’s desk for the past few days. Nevertheless, when upsetting data about price increases on electricity, water and an assortment of foodstuffs began to be emerge on Dec. 11 and dominate the mass media and the political agenda, Kahlon found himself in a very uncomfortable, defensive position.
Kahlon immediately understood that he faced a crisis and decided to establish a committee to lower the cost of living, headed by professor Yaron Zelekha, former accountant general of the Finance Ministry. Kahlon’s goal was damage control and to soften the media attack on him Dec. 12. From a tactical point of view, Kahlon’s move was not necessarily the right one. The very creation of a committee amplified media-wise the problem and drew even more negative public attention to himself. It seems that he acted out of pressure.
