Jewish settlers stoned Arab cars after an Israeli was slain near this West Bank settlement, but police Friday said they did not know whether Palestinians or Israelis killed him.

Elsewhere in the West Bank, Palestinians in Bethlehem and surrounding Christian villages observed a general strike today as Orthodox Christians celebrated Christmas. Graffiti painted on buildings called for an escalation of the 13-month Palestininan uprising.On Thursday, the Israeli Cabinet approved $611 million in budget cuts, including $67 million from defense allocations, as part of an economic austerity program designed to cut inflation and restore economic health, Israel radio said.

A police spokesman said the slain Israeli, identified as Shmuel Edri, 42, a taxi driver from the Tel Aviv suburb of Petah Tikva, had a criminal record. The radio said his criminal activities included transporting stolen goods and involvement in public disturbances.