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Measuring the Impact of a New Policy on Industry in Gaza

Start Page: 
607
End Page: 
618
Received: 
Saturday, April 22, 2006
Accepted: 
Wednesday, February 8, 2006
Authors: 
Abdalla El-Habil
Abstract: 

This paper demonstrates an application on intervention modeling focusing on measuring the impact of Yazegi company's decision to intervene (delivering new kinds of soft drink) and the intervention impact of the Israeli constraints on sales delivery. It is found that there is a significant impact on the company sales due to the company intervention (positive impact), and the Israeli intervention (negative impact). A comparison between the non-intervention model and the intervention model has been made. It is concluded that the forecasts of the intervention model are better than forecasts of the non-intervention model, because it is closer to the actual data and has smaller standard error. This empirical study sheds light on the impact evaluation of the huge number of policies, legislations, and other intervention events.

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