This book explores the political economy of governance in Palestine. It makes a unique contribution to studies of governance and political economy using the Palestinian Authority (PA) as a case study, introducing and developing the concept of ‘dual rentierism’. The author uses primary research to chart the evolution of the fiscal sociology of the PA and explore how it has shaped the PA economic policies and the state–society relationship in the Palestinian Territories. The book adopts a critical political economy approach, making the case that external sources of PA income represent political rents that need to be disaggregated and studied concurrently. It further focuses on the drivers and constraints that have shaped the PA policy development and state-building associated with its dependence on external revenues. Ultimately, the book elaborates on how the need for fiscal survivability has thwarted the Palestinian quest for statehood.