Israel's Cabinet has approved steps to lower the cost of living, in response to protests by tens of thousands of Israelis demanding economic reforms.

The proposals, recommended by a committee appointed by Prime Minister Benjamin Netanyahu earlier this year, passed with about two-thirds of the Cabinet voting in favor of them. They focus on increasing affordable housing, free education and tax breaks.

The vote is a huge victory for Mr. Netanyahu, who last week had failed to garner enough support for the changes.

In August, tens of thousands of Israelis took to the streets to demand further reforms of the Israeli economic system.

Protesters marched in Tel Aviv, Haifa and Beersheba.

The demonstrations began in July when social activists set up a tent camp on an upscale Tel Aviv street to highlight the high cost of real estate.

But since then, they evolved into a sweeping expression of rage against a wide array of economic issues, including the cost of food, gasoline and education.