Israel

Submitted by:
Raymond O. Ramos
Lynn Jane B. Basalo
April Joyce E. Guibone
IS 41 XC

Submitted to:
Sir Jal P. Octavio

January 14, 2011

Brief Country Profile and Modern History

Political Background
United Nations General Assembly Resolution 181 of November 29, 1947
called for the partition of the British mandated territory of Palestine into a Jewish
and a Palestinian Arab state. The Jews in the territory accepted the resolution while
the Arabs did not. On May 14, 1948, when the last British troops left the country,
Jewish leaders proclaimed an independent State of Israel while local Arabs joined
with the armies of 5 Arab countries (Egypt, Iraq, Jordan, Lebanon and Syria) in an
effort to destroy the new Jewish entity. Israel defended itself successfully and in
consequence of the 1949 armistice agreements extended its control to the area
within the so-called Green Line. Many Palestinian Arabs fled the country during the
1948 war and were prevented from returning afterwards.
Israel's leaders chose to accomplish these tasks through a multiparty
parliamentary democracy. At least once every four years, citizens over 18 years of
age cast a ballot for one of the country's numerous political parties vying for seats
in the 120-member Knesset (parliament). The seats are allocated in proportion to
the number of votes received by each party. After the January 28, 2003 elections, 13
parties won Knesset seats. The party that received the largest number of votes, the
Likud Party, was awarded 38 seats.
Reform legislation introduced in 1996 decreed that, instead of being chosen
by the Knesset, the prime minister would be elected directly by the voters. In May
1999 Ehud Barak of the Labor Party became prime minister. Ariel Sharon agreed to
serve as chair of the Likud Party faction, whose goal was to take over power in the
next election. On March 2, 2001, after winning 62% of the vote, Ariel Sharon
succeeded Barak as prime minister. That month, the Knesset voted to restore the
one-vote parliamentary system operating before 1996. The law went into effect with
the January 28, 2003 election, which was won by Likud. Ariel Sharon was chosen
prime minister once again.

Economical Background
Agriculture in Israel largely depends on extensive irrigation to compensate for
the shortage of rainfall. Agricultural exports include citrus and other fruits,
vegetables, and cut flowers. Other sizable crops are cotton, wheat, barley, peanuts,
sunflowers, grapes, and olives. Poultry and livestock also are raised.
High-technology industries are Israel's fastest-growing businesses, with
emphasis on computers, software, aviation, telecommunications, biotechnology,
medical electronics, and fiber optics. Diamond cutting and polishing is also
important, and a number of light industries produce wood and paper products,
processed foods, tobacco, precision instruments, metal and plastic goods,
chemicals, textiles, and footwear. The Dead Sea has minerals of commercial value,
such as potash, magnesium bromide, and salt. Tourism, which is one of Israel's
largest sources of revenue, is also important. The United States is by far the
country's largest trading partner, as well as its major source of economic and
military aid. Other important trading partners are Belgium, Germany, Great Britain,
and Hong Kong.

Territories
The West Bank has an area of 2,238 square miles and a population of 2.7
million, including approximately 301,000 Israelis. The Gaza Strip has an area of 143
square miles and a population of 1.5 million. Golan Heights is also Israeli-occupied.

Key Institutions
93% of the land in Israel is in the public domain; that is, either property of the
state, the Jewish National Fund (JNF) or the Israeli Development Authority. The
Israel Land Administration (ILA) is the government agency responsible for managing
these lands.
 The Jewish National Fund was founded in 1901 to buy and develop land in
Ottoman Palestine for Jewish settlement. It is a quasi-governmental, non-profit
organization.
The Institute for National Security Studies (INSS) describes itself as 'an
independent academic institute that studies key issues relating to Israel's national
security and Middle East affairs'.

Modern history (19th century up to date)

1517-1917 Ottoman rule
1918 World War I ends
1918-48 British rule
1922 Britain granted Mandate for Palestine (Land of Israel) by League of
Nations
1939 Jewish immigration severely limited by British White Paper.
1939-45 World War II; Holocaust in Europe.
1947 UN proposes the establishment of Arab and Jewish states.
STATE OF ISRAEL
1948 End of British Mandate & proclamation of State of Israel (May 14). War
of Independence (May 1948-July 1949).
1949 Armistice agreements signed with Egypt, Jordan, Syria, and
Lebanon.
Israel admitted to United Nations as 59th member.
1967 Six-Day War; Jerusalem reunited.
1968-70 Egypt's War of Attrition against Israel
1979 Israel-Egypt Peace Treaty signed. Prime Minister Menachem Begin
and President Anwar Sadat awarded Nobel Peace Prize.
1982 Israel's three-stage withdrawal from Sinai Peninsula completed.
Operation Peace for Galilee removes Palestine Liberation Organization
(PLO) terrorists from Lebanon.
1985 Free Trade Agreement signed with United States.
2002 Israel launches Operation Defensive Shield in response to massive
Palestinian terrorist attacks. Israel begins building the anti-terrorist
fence to stop West Bank terrorists from killing Israeli citizens.
2009 Benjamin Netanyahu is elected Prime Minister in national elections held
in February 2009, and forms a broad-based coalition government.
2010 Israel joins the Organization for Economic Co-operation and
Development
(OECD).
Political Economy and Geopolitics of Israel
The economy of Israel is a diversified, technologically advanced market
economy with substantial state ownership and a rapidly developing high-tech
sector. Israel's tech market is very developed, and the high-tech sector is
likely to be the major driver of the Israeli economy. Israeli companies,
particularly in the high-tech area, have recently enjoyed considerable
success raising money on the world financial markets. Israel is one of the
world's centers for diamond cutting and polishing. It also is a world leader in
software development. Israel now ranks 2nd among foreign countries in the
number of its companies listed on US stock exchanges. Israel is also one of
the world's major exporters of military equipment. In terms of external
trade, The US is Israel's largest trading partner. The 2 countries signed a free
trade agreement in 1985 that progressively eliminated tariffs on most goods
traded between the 2 countries. Israel also has trade and cooperation
agreements in place with the EU and Canada.
As for oil factor, Israel produces almost no oil and imports nearly all its
oil needs. Traditionally, major oil import sources have included Egypt, the
North Sea, West Africa, and Mexico. In recent years, however, Israel has
stepped up its imports from Russia and the Caspian region (Kazakhstan,
Turkmenistan, etc.) and also signed a deal to purchase from Angola. Although
oil exploration in Israel has not proven successful in the past, drilling is being
stepped up. Geologically, Israel appears to be connected to the oil-rich
Paleozoic petroleum system stretching from Saudi Arabia through Iraq to
Syria. Since 1998, Israel’s government has been working to reform the highly
centralized Oil sector. Israel has 2 major refineries, both owned and operated
by Oil Refineries Limited (ORL). The plants, which are located at Haifa and
Ashdod, meet all of Israel’s demand for refined oil products. Although Israel
itself produces almost no oil, a comprehensive settlement of the Arab-Israeli
conflict could affect Middle East oil flows significantly. Israel’s geographic
location between the Arabian Peninsula and the Mediterranean Sea offers the
potential for an alternative oil export route for Persian Gulf oil to the West.
In 2009, the Delek-Noble an energy exploration partnership,
announced a massive natural gas discovery off Israel’s northern coast. This
discovery is very good for Israel and validates the belief that significant oil
and gas reserves can be found in Israel. The discovery also reinforces the
decision by the Government of Israel to continue building the gas pipeline
infrastructure and electric generating plants powered by natural gas. Israel
hopes to increase the share of Natural Gas in its fuel mix for energy security,
economic, and environmental reasons.
Geopolitics of Israel requires a consideration of 3 dimensions. First is
the internal geopolitics of Israel. Israel is located on the eastern shore of the
Mediterranean Sea, on the Levant. The Levant in general and Israel in
particular has always been a magnet for great powers. No Mediterranean
empire could be fully secure unless it controlled the Levant. The Levant is the
crossroads of continents, and Israel lies in the path of many imperial
ambitions. Israel therefore occupies what might be called the convergence
zone of the Eastern Hemisphere. Israel is geographically divided into 3
regions, which traditionally have produced 3 different types of people. 1st, its
coastal plain which facilitates commerce, serving as the interface between
eastern trade routes and the sea. It is the home of merchants and
manufacturers and cosmopolitan for Israel. 2nd, the northeast is hill country,
closest to the north of the Litani River and to the Syrian threat. It breeds
farmers and warriors. 3rd, the area south of Jerusalem is hard desert country,
more conducive to herdsman and warriors than anything else. Jerusalem is
where these three regions are balanced and governed.
Second dimension, is the interaction of Israel and the immediate
neighbors who share borders with it. The main neighbors of Israel are
Egyptians, Syrians and those who live on the east bank of Jordan. But Israel
can resist its neighbors for it is well-buffered in 3 directions. The Sinai Desert
protects it against the Egyptians. Israel is similarly protected from the
southeast by the deserts Eilat-Aqaba. The eastern approaches are similarly
secured by desert, east of the Jordan River.
Last dimension is Israel’s interaction with the great powers, beyond
Israel’s borderlands. Danger arises when more distant powers begin playing
imperial games. Israel is normally of interest to outside powers because of its
strategic position. While Israel can deal with local challenges effectively, it
cannot deal with broader challenges. It lacks the economic or military weight
to resist. Therefore, while Israel’s military can focus only on immediate
interests, its diplomatic interests must look much further. Israel is constantly
entangled with global interests, seeking to deflect and align with broader
global powers.
Israel exists in 3 conditions. 1st, it can be a completely independent
state. This condition occurs when there are no major imperial powers
external to the region. This called the David model which exists primarily
when there is no external imperial power needing control of the Levant. 2nd, it
can live as part of an imperial system — either as a subordinate ally or as a
moderately autonomous entity. In any case, it maintains its identity but loses
room for independent maneuvering in foreign policy and potentially in
domestic policy. This is called the Persian model which exists when Israel
aligns itself with the foreign policy interests of such an imperial power, to its
own benefit. Finally, Israel can be completely crushed — with mass
deportations and migrations, with a complete loss of autonomy and minimal
residual autonomy. This is called Babylonian model which exists when Israel
miscalculates on the broader balance of power and attempts to resist an
emerging hegemon.

Israel’s real threat lies in the event of internal division and/or a great
power, coveting Israel’s geographical position, marshalling force that is
beyond its capacity to resist. Israel’s reality is this. It is a small country, yet it
must manage threats arising far outside of its region. It can survive only if it
maneuvers with great powers commanding enormously greater resources.
Israel cannot match the resources and, therefore, it must be constantly
clever. For Israel, the retention of a Davidic independence is difficult. Israel’s
strategy must be to manage its subordination effectively by dealing with its
patron cleverly. But cleverness is not a geopolitical concept. It is not
permanent, and it is not assured. And that is the perpetual crisis of
Jerusalem.
 FOREIGN RELATIONS

Egypt

`Israel and Egypt signed a peace treaty in 1979, marking the end of 30 years
of relentless hostility and five costly wars. The treaty was preceded by Egyptian
President Anwar Sadat's visit to Jerusalem (1977), at the invitation of Israel's Prime
Minister Menachem Begin, as well as the signing of the Camp David Accords (1978),
which constituted a basis for peace between Egypt and Israel and between Israel
and its other neighbors. The accords also addressed the need to solve the
Palestinian issue, following a five-year interim phase of autonomy for the Palestinian
Arab residents of Judea and Samaria (the West Bank) and the Gaza Strip. President
Sadat and Prime Minister Begin were jointly awarded the Nobel Peace Prize for their
achievement.

The peace implemented between Israel and Egypt consists of several major
elements, including the termination of the state of war as well as acts or threats of
belligerency, hostility or violence; the establishment of diplomatic, economic, and
cultural ties; the removal of barriers to trade and freedom of movement; and
withdrawal by Israel from the Sinai peninsula, with agreed security arrangements
and limited force zones. Israel completed its withdrawal from Sinai (1982) according
to the terms of the treaty, giving up strategic military bases and other assets in
exchange for peace.Following the renewed outbreak of Palestinian terrorism
(September 2000), relations cooled considerably and Egypt recalled its ambassador,
who was returned at the beginning of 2005. Nevertheless, trade and cooperation
continued, and the joint military committee meets regularly. In light of Israel's
disengagement from the Gaza Strip, to which Egypt contributed, relations have
improved.

Jordan
The peace treaty between Jordan and Israel, signed at the Akaba-Eilat border
crossing (October 1994), was preceded by a meeting of King Hussein and Prime
Minister Yitzhak Rabin in Washington three months earlier, when the two leaders
proclaimed an end to the state of war between their countries.The 1991 Madrid
Conference led to public bilateral talks, culminating in a formal treaty (1994) in
which both countries have undertaken to refrain from acts of belligerency, to ensure
that no threats of violence to the other will originate within their territory, to
endeavor to prevent terrorism and act together to achieve security and cooperation
in the Middle East by replacing military preparedness with confidence-building
measures. Other provisions include agreed allocations from existing water
resources, freedom of passage for nationals of both countries, efforts to alleviate
the refugee problem and cooperation in the development of the Jordan Rift
Valley.King Abdullah II, who succeeded his father, King Hussein, in March 1999,
visited Israel in April 2000.Following the renewed outbreak of Palestinian terrorism
(September 2000) in the territories, relations with Jordan cooled and Jordan recalled
its ambassador. There has been a gradual development of relations and Jordan
returned its ambassador in 2005.
Gulf States
As a result of the Oslo peace process in the Middle East, the Gulf States
showed interest in relations with Israel for the first time since 1948. Initial contacts
were followed with a series of reciprocal visits by high-level officials. In May 1996,
Israel opened trade representation offices in Oman and Qatar to develop economic,
scientific, and commercial relations, with emphasis on water resources utilization,
tourism, agriculture, chemicals, and advanced technologies.
Since the renewed outbreak of Palestinian terrorism in 2000, relations with the Gulf
States have cooled. Israel's trade representation office in Oman has been closed.
United States
Eleven minutes after theproclamation of Israel's independenceon 14 May 1948,
American President Harry S. Truman extended recognition to the new state. This act
marked the beginning of a relationship based on common values and was
characterized by deep friendship and mutual respect. During the Nixon and Carter
administrations, it assisted in concluding disengagement agreements
between Israel and Egypt and Israel and Syria (1973-74), the Camp David
Accords (1978) and the Egypt-Israel Peace Treaty (1979).
During the Reagan administration, relations not only flourished, but were also
given a more formal and concrete content. In addition to previous commitments,
memorandums of understanding were signed (1981, 1988), forming the basis for
setting up a number of joint planning and consultative bodies, which in turn
generated practical arrangements in both military and civilian fields. Israel currently
receives some $2.6 billion a year in security and economic aid, and bilateral trade
has been enhanced by the Israel - United States Free Trade Area Agreement (1985).

The United States usually stands by Israel’s side in international forums,

staving off attempts both in the United Nations and in associated bodies to push
through anti-Israel resolutions. The two countries have been cooperating to their
mutual advantage in exchanges of intelligence and military information, as well as
in the war against international terrorism and the campaign against drugs. United
States-Israel friendship is bolstered by support from the American-Jewish
community and a wide segment of American society.

CONTEMPORARY ISSUES

Israeli Women in Politics

Since Israel’s establishment in 1948, dozens of womenhave served in the

Knesset (Israel’s parliament), and haveheld leadership roles in politics.

Ten women have served as cabinet ministers, including

Prime Minister Golda Meir, Israel’s first - and the world’s
third - female prime minister.

• Israeli-Arab women actively participate in political

life. Nadia Hilou was the second Israeli-Arab woman
to serve in the Knesset when she took her current seat
in office in 2006.

• At present, 17 Knesset members are women.

• 34 percent of judges in Israel are women.

Currently, three women hold senior political roles in

Israel: TzipiLivni, vice premier and minister of foreign
affairs; Dalia Itzik, Knesset speaker; and DoritBeinisch,
president of Israel’s Supreme Court.

Israeli Women in the Workforce

Israeli law protects the right of women to equal opportunity in the

workplace. Since the 1950s, women’s opportunities in the workplace have
been secured by legislation guaranteeing maternity leave allowance paid by
the National Insurance Institute, protection against dismissal during
pregnancy and affordable childcare facilities. In 1964, legislation was passed
mandating that women receive pay equal to that of men.Today, women are
making great strides in the Israeli workforce. Though Israeli women still
haven’t achieved equal pay, women have risen to the CEO level in
severalIsraeli Fortune 500 companies. Examples include Dalia Narkiss, CEO
of Israel’s largest employment agency,Manpower; and GaliaMaor, CEO of
leading commercialbank Bank Leumi. In the Israeli national trade union
(Histadrut), women are represented at each level. The Histadrut has adopted
a resolution requiring that 30 percent of its leadership must be women. In
addition, Israel’s Ministry of Commerce and Industry
has established a unit to encourage women to open small- and medium-sized
businesses. The unit has aided Bedouin women in Israel in setting up small
businesses, and is providing them the planning and marketing skills
necessary to maximize their success. The Negev Institute
for Strategies and Development has also instituted a project in southern
Israel to provide Bedouin women with vocational, entrepreneurial and
managerial training, combined with financial support and counselling

The Iranian Threat

Iran has long been involved in the sponsoring and support of worldwide terror
groups and has been officially implicated for its involvement in terrorist
activities in several Western states. It provides aid in the form of weapons,
training, and funding to Hamas and other Palestinian terrorist groups,
Hizbullah in Lebanon, Iraq-based militants, and Taliban fighters in
Afghanistan.

Iran's is actively pursuing a nuclear weapons program. While denying these

allegations, Iran's behavior has led to its being sanctioned by various
international bodies, including the IAEA and the U.N Security Council.

Iran publically denies the Holocaust, and is the only country that openly calls
for the annihilation of another state - the State of Israel.

President Ahmadinejad actively endorses chaos, so as to hasten the re-

emergence of the Hidden Imam and spread true Islamic rule worldwide. He
believes that the Hidden Imam will return only following an apocalyptic war
against Israel and the West.