Sixty thousand Jews made aliyah, mostly without financial or other aid, and settled in quickly, mostly in the towns. The atmosphere of prosperity that prevailed in the Yishuv at this time satisfied the supporters of a capitalistic market and provided them with valuable ammunition to support their claims. But not for long.

Throughout the years of the Fourth Aliyah - the so-called "urban" aliyah - both public-cooperative and private agricultural settlement continued. During these years a bloc of new moshavot northeast of Tel Aviv, in the Sharon region, rose up, including Bnei Brak, Herzliya, Ramatayim and Magdiel (later Hod Hasharon), which strengthened the settlements that had previously been established in the area (Kfar Saba, Ra'anana and Ir Shalom - later Ramat Hasharon). The citrus industry was the area's main means of income.