The PLO had called for a one-day general strike on Sunday to condemn the use of force by a Hamas-linked group in dispersing a protest two days earlier which the movement had dubbed "illegal".
At least 20 Palestinians were wounded as Executive Force members - armed with batons and stun grenades and firing into the air - dispersed hundreds of people across Gaza.
Sunday's general strike is the first since Hamas gained power three months ago.
The move marks the latest escalation between Mahmoud Abbas, the Palestinian president and Fatah leader, and the leadership of Hamas, Fatah's rival.
Shops closed
Most shops were closed in the Rimal neighbourhood, a usually bustling marketplace, and noticeably fewer people were out on the streets.
In Gaza's largest market, all but a handful of fruit and vegetable shops and stalls were closed while Gaza City municipal employees stayed home in protest.
The Al-Azhar, Al-Quds and Al-Aqsa universities were also closed, as were the majority of state schools in the Gaza Strip.
However, schools operated by the UN Relief and Works Agency for Palestinian refugees (UNRWA) remained open.
At Shifa hospital, the territory's largest medical facility, only the emergency services were working.
One doctor at the hospital, a Fatah member, said he feared reprisals.
The hospital has witnessed several work slowdowns in recent months, as staff members protested against a move by Hamas to fire senior administrators who are members of Fatah.
"Doctors at hospitals, especially Shifa ... have stopped work and answered the call to strike," the medic, who preferred anonymity, said.
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