Archive for the ‘Focus on Israel at 60’ Category

By Joel B. Pollak

Joel B. Pollak ’99 is a graduate of Harvard College and the University of Cape Town. He was a political speechwriter for the Leader of the Opposition in South Africa from 2002 to 2006 and is a second-year student at Harvard Law School.
It still has no formal constitution. Its borders are contested and subject to negotiation. It relies heavily on foreign military aid. It has no majority party and seems incapable of electing a stable government. True, it has strong institutions, a successful economy, a vibrant cultural life, and a powerful military. It has won an Olympic gold medal and the Eurovision song contest. But sixty years after David Ben-Gurion proclaimed its independence, Israel remains, in many ways, an idea.

It is not just an idea. It is an idea with powerful political, legal, and historical foundations. Thousands of men and women have defended it with their lives, and more are ready to do so. Historian Michael Oren points out that in recent conflicts, more than 100 percent of Israeli reservists who are called to their units report for duty. [1] Israelis also have high hopes for the future, in spite of the daily barrage of rockets and the threat of nuclear annihilation. These hopes are best represented by rising birthrates among Israeli Jews, which reached 2.9 children per woman in 2006. [2] A string of Nobel prizes in the past several years serves as a reminder of what Israel continues to contribute to humanity.

But at the core of that success lies a profound—and self-inflicted—weakness: a lack of leadership. The birthday wishes said it all: “Happy 60th birthday, Israel—well done for surviving,” wrote Melanie Phillips in the Spectator. [3] “Will Israel Survive?” wondered Mitchell G. Bard in a recent book (answer: yes, after 236 pages). [4] “Is Israel Finished?” asked Jeffrey Goldberg in the Atlantic. [5] Speaking about his article to Shmuel Rosner of Ha’aretz, he offered this “note of optimism”: “Jews survive. It’s what we do. We survive in all sorts of improbable ways.” [6]

No other country is congratulated on its anniversary for its survival. It is true that no other country has faced the threats that Israel has confronted Israel for three generations. Worse than the immediate physical danger is the steady indoctrination of Arabs and Muslims by their leaders to hate Israel and Jews in particular. As George Orwell once noted:

“The truly evil thing is to act in such a way that peaceful life becomes impossible….By shooting at your enemy you are not in the deepest sense wronging him. But by hating him, by inventing lies about him and bringing children up to believe them, by clamouring for unjust peace terms which make further wars inevitable, you are striking not at one perishable generation, but at humanity itself.” [7]

That hatred has reached the West, and is preached not only in mosques, but in university classrooms. In the eyes of Israel’s enemies, the Jewish state has never existed at all—not now, and not ever. They have denied Israel’s legitimacy in every possible forum. But they are not solely to blame for Israel’s vulnerability.

Israel’s own leaders are partly at fault, for continuing to behave as if Israel’s right to sovereignty depended on the acquiescence of its most wretched and determined enemies. Yes, Israel has shown a continued will and ability to use pre-emptive strikes against the deadliest dangers—such as Syria’s North Korean-built nuclear plant, which Israel destroyed in September 2007. But on the home front, in the fight against terror, Israel’s most successful recent military operations—the Gaza disengagement, the West Bank security barrier—have all been tactical withdrawals. Necessary and advantageous, but retreats nonetheless.

The newest stop for foreign dignitaries visiting Israel is the town of Sderot, which has been bombarded with rockets by terror groups, with the assistance and approval of the elected Palestinian government, since Israel withdrew from the Gaza Strip in August 2005. Israel’s leaders wish to emphasize that the country remains vulnerable to attack. Instead, Sderot illustrates their paralysis and shame.

One of the primary reasons for any state’s existence is the protection of its citizens. A single assault against a country’s military—let alone repeated violence against its civilians—is enough to justify a serious military response. Its allies believe Israel has displayed restraint; its enemies know it has shown cowardice. Afraid of international condemnation, wary of the cost of a potential war on two fronts, Israel’s government has failed to fulfill its most basic duty.

Not that Israel should be easily provoked into hasty counter-attacks—certainly not when the lives of its soldiers and innocent civilians on all sides are at stake. That was the mistake made in the Second Lebanon War, a fight Israel rushed into without the preparation it needed to ensure victory. The appropriate response is the one described by U.S. President George W. Bush in the wake of 9/11: “This conflict was begun on the timing and terms of others; it will end in a way and at an hour of our choosing.” [8] Of course, Israel ought not give up on peace talks with Palestinian Authority President Mahmoud Abbas. Nor, however, should it rush towards talks with unnecessary urgency and hysterical warnings of “apartheid” on the horizon. [9]

What it should do is muster the will to tackle its most serious challenges, military and political. Israel was slow to recognize the damage that the images of the “death” of 12-year-old Palestinian Muhammad a-Durra—an event that was probably staged—would do to Israel’s reputation abroad. Only the determined campaign of French media critic Philippe Karsenty gave Israeli officials the courage to call the a-Durra film a hoax. [10]

For decades, Israel’s leaders have failed to muster the political courage to deal with the country’s most pressing domestic questions: the role of religion in public life and the status of its Arab minority. These are problems on a scale far greater than the political puzzles faced by other democracies, such as America’s struggle with entitlement reform. They are primary questions of national identity, left unanswered.

Israel’s finest minds have been diverted from these issues and forced to return to basics. Human rights pioneer Ruth Gavison recently lamented:

“Is it possible to justify the existence of a Jewish state?…Over the many years in which I have participated in debates about Israel’s constitutional foundations and the rights of its citizens, I did not generally feel this question to be particularly urgent. Indeed, I believed that there was no more need to demonstrate the legitimacy of a Jewish state than there was for any other nation…Today I realize that my view was wrong. The repudiation of Israel’s right to exist as a Jewish state is now a commonly held position, and one that is increasingly seen as legitimate.” [11]

Gavison adds: “More worrisome is the fact that many Jews in Israel agree with this view, or at least show a measure of sympathy for it.”

Legal scholar Amnon Rubinstein and historian Alexander Yakobson revisit Israel’s legitimacy in their masterful Israel and the Family of Nations: The Jewish Nation-State and Human Rights, which has already been published in Hebrew and French and is due out in English from Routledge later this year. They prove Israel meets the standards of other liberal democracies, and that its “Jewishness” ought not detract from its legitimacy. But this argument, however welcome and erudite, still frames Israel’s existence in a conditional way. No other nation measures its right to exist against the rights of other nations—except perhaps Palestine, Israel’s birth-twin and eternal shadow.

Palestine today is a grievance, not a cause. It is an anti-idea, what Orwell called a “negative nationalism,” which has been utterly failed by its leaders and by its purported champions in the broader Arab world. Yet that anti-idea has more clarity than Israel’s own incoherent self-consciousness. Never mind Palestinian textbooks; the standard American college Arabic text, Al-Kitaab, leaves Israel off the map and describes Jerusalem as the Palestinian, not Israeli, capital. [12] Anti-Israel activists accuse Israel of “apartheid,” using fake quotes from Nelson Mandela as “proof” [13] these soon become the iron truth of national myth.

There is one sense in which the South African analogy has merit. If a Palestinian state is ever established, it will look something like Lesotho and Swaziland—two tribal kingdoms, created at the end of territorial conflicts, economically dependent on their larger neighbors, which are not “Bantustans” but legitimate, sovereign states. That is the destiny to which Palestine will likely have to reconcile itself.

Whether it does so or not is not Israel’s concern. The fates of Israel and Palestine are linked but are not mutually dependent. The future of the Jewish state is entirely in its own hands. Israel cannot last if it believes its future remains contingent on “recognition.” U.N. General Assembly Resolution 181 created both Israel and Palestine, but one was built. That—and not mere survival—is what Israel’s 60th anniversary ought to celebrate.

Independence was, and remains, a formality. The key to Israel’s existence has been, and ever will be, its own will to exist. The dream of Zion remains strong, but there are deeds left to be done. Borders must be determined—and defended. The status of Israel’s Arab citizens must be resolved fairly—and finally. The role of religion must be defined in a way that satisfies Israel’s unique identity as well as its pluralistic aspirations. Israel has the hope, and the experience, it needs to continue building—to 120 and beyond. What it requires now are leaders equal to the task.


1.    Michael Oren, “Q&A with Michael Oren,” Jerusalem Post, Jun. 5, 2007, <http://info.jpost.com/C004/QandA/qa.orenm.html&gt;; also Michael B. Oren and Benjamin Balint, “Save the Citizens’ Army,” Azure, Winter 5765/2005, No. 19, <http://www.azure.org.il/magazine/magazine.asp?id=11&gt;.
2.    Moti Bassok, “Study: Jewish births lead rise in Israeli fertility rates,” Ha’aretz, Jul, 11, 2007, < http://www.haaretz.com/hasen/spages/921392.html&gt;.
3.    Melanie Phillips, “Happy 60th birthday, Israel—well done for surviving,” Spectator, Apr. 30, 2008, < http://www.spectator.co.uk/the-magazine/features/643426/happy-60th-birthday-israel-well-done-for-surviving.thtml&gt;.
4.    Mitchell G. Bard, Will Israel Survive?, New York: Palgrave Macmillan, 2007.
5.    Jeffrey Goldberg, “Is Israel Finished?”, The Atlantic, May 2008, < http://www.theatlantic.com/doc/200805/israel&gt;.
6.    Shmuel Rosner, “Is Israel Finished? Five Questions,” Ha’aretz, Apr. 29, 2008, < http://www.haaretz.com/hasen/pages/rosnerBlog.jhtml?itemNo=979077&contrassID=25&subContrassID=0&sbSubContrassID=1&listSrc=Y&art=1&gt;.
7.    George Orwell, “As I Please,” Tribune, Aug. 4, 1944, in The Collected Essays, Journalistm and Letters of George Orwell, Volume 3: As I Please, 1943-1946, Sonia Orwell and Ian Angus, eds., Boston: Nonpareil, 1968, 199.
8.    George W. Bush, Remarks at the National Day of Prayer & Remembrance, Episcopal National Cathedral, Sep. 14, 2001, < http://www.americanrhetoric.com/speeches/gwbush911prayer&memorialaddress.htm&gt;.
9.    Mark Tran, “State of Israel could disappear, warns Olmert,” Guardian, Nov. 29, 2007, < http://www.guardian.co.uk/world/2007/nov/29/israel&gt;.
10.    Barak Ravid, “Government Press Office: Al-Dura’s death was staged by Gaza cameraman,” Ha’aretz, Oct. 2, 2007, < http://www.haaretz.com/hasen/spages/908869.html&gt;.
11.    Ruth Gavison, “The Jews’ Right to Statehood: A Defense,” Azure 15 (2003), < http://www.azure.org.il/magazine/magazine.asp?id=188&search_text=&gt;.
12.    Kristen Brustad, Mahmoud Al-Batal and Abbas Al-Tonsi, Al-Kitaab fii Ta’allum al-‘Arabiyya: A Textbook for Beginning Arabic, Part One (2d ed., Georgetown UP, 2004).
13.    The fake Mandela quote, which is repeated all over the Internet and at gatherings of anti-Israel activists, has its origins in a “Mandela memo” written by Electronic Intifada founder Arjan El-Fassed, available at http://www.mediamonitors.net/arjan28.html.

Read Full Post »

By Asher A. Fredman

Asher A. Fredman ’08, a Government concentrator from Leverett House, graduates from Harvard College this year. This essay is based on his senior thesis.

As it enters its sixtieth year, the modern State of Israel continues to be one of the few democracies in the world without a written, formal constitution. The Declaration of the Establishment of the State of Israel (Declaration of Independence) explicitly stipulates that the Elected Constituent Assembly should adopt a constitution “not later than the October 1st, 1948.” Yet continued debates and disagreements over core issues relating to the identity and structure of the state have stalled the process. Since the controversial and contested 1992 ‘Constitutional Revolution’—which allowed the Supreme Court of Israel to review and strike down laws made in the Knesset (Israel’s parliament)—various political and civil society actors have come to see the development of a constitution as an attractive way to enshrine—or reverse—the results of the ‘revolution’. Amid fears of demographic changes—such as the growth of Arab and ultra-Orthodox Haredi populations—and over the spread of post-Zionist worldviews, many now believe that the adoption of a constitution has become particularly urgent.

In this essay I will outline some of the main issues in the debate and provide an overview of legislative activity in Israel. My observations are based on experience gained during two summers of working in the Israeli parliament, and on research conducted for my senior thesis, for which I interviewed many of the major players in the constitutional discussions. The core issues regarding the character and structure of the State of Israel which may be affected by a future constitution can be divided broadly into three categories (though the lines between them are often blurry.) They are the self-definition and character of the State, religion-state relations, and the structure of the government and political system. [1]

I argue that as long as the Supreme Court continues to play an aggressively activist role in all aspects of public and political life in Israel, it is unlikely that the members of the Knesset will have the motivation or willingness to make the compromises needed to resolve these debates and produce a constitution. The relationship and balance of power between the judiciary and the legislature has become a central point of contention, even eclipsing, perhaps, the ‘traditional’ core issues. It will therefore be necessary to structure the relationship in such a way as to ensure that complex and sensitive compromises reached by the various parties will not be overruled for conflicting with the ideological orientations of members of the court.

Definition and Character of the State

The vast majority of Israel’s Jewish population supports the idea that Israel should be both a Jewish and a democratic State. But Israelis have many different opinions about what the State’s Jewish character should entail. Should the State simply be a safe-haven for Jews persecuted or discriminated against in other lands? Should it be the nation-state of the Jewish people, as expressed in its primary language, Hebrew, and in its symbols such as flag and national anthem? Should the State actively promote the preservation, expression and advancement of Jewish culture? Or encourage Jewish settlement of the land. The position of the Arab minority is also the subject of debate. [2]

Similarly, there are questions about how the State should fulfill the practice and principles of democracy. Does democracy require simply that every citizen be given the right to vote, to hold office, and that public officials be held accountable through regularly scheduled elections? Or does it require the state to guarantee a broader spectrum of rights, and take positive action to ensure the economic and social equality of its citizens? Does it require that the State grant political or cultural autonomy to some or all minority groups?

There are many ways in which these questions may find expression in the constitution. The first is in the official definition of the state. One approach is to employ the formulation which defines the State as ‘”Jewish and democratic.” [3] Another is to divide the two elements, so that the first clause states that “Israel is the State of the Jewish People'” (or “The State in which the Jewish nation realizes its right to self definition'” or “A Jewish State and the National Home of the Jewish People”), while the next clause states that Israel is a democratic state which respects the human rights of all its residents. [4] The constitution proposed by Adalah, the ‘Legal Center for Arab Minority Rights in Israel’, defines Israel as “a democratic state, based on the values of human dignity, liberty and equality”, and elsewhere describes Israel as a “democratic, bilingual and multicultural State.” Other groups have proposed the using the phrase, “a state of all its citizens”. [5]

Some of the other provisions whose inclusion or non-inclusion would affect the definition and character of the state include [6]:

•    A special connection between Israel and Diaspora Jewry; an imperative on the State to act for the safety and well being of Jews around the world; an imperative on the State to encourage Jewish immigration to Israel.

•    The constitutional recognition of Israel’s Arab population as a ‘national minority’ or an ‘indigenous people’; the granting of collective rights and/or limited autonomy to the Arab or other minorities; the official status of Arabic.

•    Neutral state symbols (such as flag, anthem and emblem) in addition to or in place of the current Jewish ones.

•    An imperative on the State to inculcate knowledge of the Jewish heritage in the Jewish educational system.

•    The right of the State to set aside certain pieces of land for exclusive purchase or settlement by members of a specific ethnic or religious group.

Religion and state

The debates on the relationship between religion and state revolve around whether aspects of traditional religious law (halacha in Judaism, sharia in Islam) should have a role in the legal system of the state. The debate affects issues as basic and personal as marriage, divorce, conversion, burial, and which activities are permitted on the national Day of Rest (the Sabbath.) The historical roots of the religion-state arrangements in Israel, which differ significantly from those in the United States, are in the Ottoman millet system, which was preserved by the British in the Mandatory era. This system designated people as belonging to one of a list of officially recognized religious communities, each governed by certain religious leaders.

In 1947, the Jewish Agency and David Ben-Gurion negotiated with representatives of the ultra-Orthodox Agudat Israel movement and arrived at an understanding which became known as the ‘status-quo agreement.’ The agreement gave the Chief Rabbinate control over issues of personal status, which include marriage, divorce, conversions, the Jewish status of immigrants to Israel, and kashrut (kosher) certification. It provided that the Sabbath would be observed in the public sphere by the closure of businesses, government offices, and public transportation.

Competition between the two large party blocs meant that support from religious parties was necessary for nearly every government coalition. The religious parties in turn insisted that the preservation of the religion-state status quo be included in coalitional agreements. At the same time, strong challenges to the status quo emerged and violations became ubiquitous. Secular Israelis objected to the enforcement of religious law in matters such as marriage and divorce, and to the closure of places of entertainment, restaurants and public transportation on the Sabbath, their day off. Issues surrounding marriage and conversion became especially urgent with the massive waves of immigration from the former Soviet Union in the 1990s. Hundreds of thousands of these immigrants were eligible to immigrate under the Law of Return, but were not Jewish according to halacha, and therefore, lacked any official religion and could not legally marry within the State. [7] The Reform and Conservative movements within Judaism, despite still having relatively little presence or political influence in Israel, began to challenge the Orthodox monopoly over religious affairs. A number of their petitions to the Supreme Court on issues such as conversion were successful.

Several religious parties have opposed the creation of a constitution in the past, fearing that it would upset the religion-state status quo. Other prominent religious politicians have expressed staunch support for a constitution, because they believe the Supreme Court poses a greater threat to the place of religious life. Some of the proposals for a constitution explicitly single out the Jewish tradition as a source of inspiration for legal decisions and laws, while others discourage the incorporation of any aspects of religion into the legal system.

The constitutional issues related to the relationship between religion and state include:

•    The authority of the rabbinical courts, and the leeway, which the Supreme Court may exercise in interfering with their decisions.

•    The nature of Sabbath observance in the public sphere. Should restaurants, places of entertainment and retail shops be allowed to operate? Should businesses and factories? Should public transportation be allowed to operate in full or modified form in areas with significant secular populations?

•    Personal Status. Should there be a right to civil marriage and divorce, or should these issues continue to fall under the jurisdiction of the Chief Rabbinate? [8] One interesting compromise proposal would create an institution known as a ‘pact of couplehood’ (brit hazugiyut), which would have the same legal status as marriage. When entering into the pact, the couple would have to declare that they did not intend to enter into a halachically-valid marriage, thereby avoiding, according to a number of religious authorities, many of the halachic problems which the introduction of civil marriage and divorce might create.

•    The degree to which the Supreme Court may review arrangements and laws touching on religion and state. The constitutional proposal of the Israel Democracy Institute explicitly shields laws relating to four key areas—marriage and divorce, conversion, Sabbath, and religious dietary regulations (kashrut) in government buildings- from judicial review. It also states that when a judge comes to interpret a law relating to one of these areas, he or she is not required to do so in light of other principles found in the constitution. [9]

•    Who is a Jew? This question goes to the heart both of the character of the State and religion-state relations. Currently there are different criteria employed for eligibility to immigrate to Israel under the Law of Return, and to be recognized as a Jew by the Interior Ministry for purposes of personal status. Connected to this area are standards for and control over conversion. On this issue, as well as many of the other issues discussed above, the constitution’s drafters may decide that it is better to avoid any mention of it in the constitutional text, and leave its resolution to the realm of ordinary politics.

Structure of the Government

The rules and procedures governing the different branches of government and the system of checks and balances between them are a central part of any constitution. An issue of great importance throughout Israel’s history has been the electoral process and the types of political alliances it fosters. Article 4 of Basic Law states that elections to the Knesset shall be general, national, direct, equal, secret and proportional. Israel currently has an electoral system which is proportional rather than majoritarian, and national rather than district-based. This means that people vote for a party rather than a particular representative of a district, and that each party receives a number of parliamentary seats (out of 120) in proportion to the percentage of votes they receive throughout the country. The result has been the proliferation of many small parties.

Many experts argue that the political system would function better if elections were held according to districts and candidates were accountable to specific constituencies. Assuming that each district elected only one representative (a majoritarian or winner-take-all system), the result would most likely be a reduction in the number of political parties represented in the Knesset.

The minimum percentage of nationwide votes needed for a party to receive seats in the parliament is unsurprisingly controversial, in the context of Israel’s party system. Since 2004 the minimum threshold for receiving seats has been incrementally raised from 1.5% to 2.5%. This threshold is one of the lowest in the world, and many analysts argue that in order to reduce the number of small parties—which in their view cause political instability and polarization—the threshold should be raised much higher. Some have advocated for even more radical changes in the Israeli political system, such as moving from a parliamentary to a presidential or semi-presidential system.

There are those who see the creation of a constitution as providing the best hope for bringing about significant changes in this area. It is unlikely that changes with far-reaching consequences will be passed within the framework of ordinary, day-to-day politics. A constitution which lays down for the first time the structure of the entire political system in a sweeping, holistic manner, could create these changes in a balanced and deliberate way, to ensure that the various reforms are compatible and complementary to each other.

Legislative-Judicial relations

At least until 1992, Israel had generally been viewed as operating under the doctrine of parliamentary sovereignty, similar to Great Britain. Power rested primarily in the legislature, whose acts were not subject to review by the judiciary. The judiciary tended to take a more restricted view of its role, only occasionally foraying into contentious political or ideological debates. It claimed the right to exercise powers of judicial review only in very limited circumstances. However from 1983 to 1995, during Meir Shamgar’s term as President of the Supreme Court, judicial practice began to change. Firstly, the court virtually eliminated the requirement that a petitioner demonstrate ‘standing’, i.e. a personal stake in the case. Whereas a person in the United States, a person must have a personal “case or controversy” in order to bring a matter before the court, the Israel Supreme Court allows NGOs, advocacy groups and even private citizens to challenge legislation and government policies, even if the petitioners themselves are not actually affected by it. Secondly, the court gradually broadened the range of issues it considers justiciable—or within its mandate. It became particularly eager to hear cases that may concern human rights. In the U.S., the Supreme Court has generally refrained from becoming involved in questions it believes to be inherently political, and therefore properly the jurisdiction of the other branches of government, such as matters of military and diplomatic policy and decisions relating to the national budget. Aharon Barak, Justice and later President of the Supreme Court from 1995-2006, on the other hand, has declared that “anything and everything is justiciable.” [10]

In 1992 the Knesset passed the first two basic laws dealing specifically with human rights. These were Basic Law: Freedom of Occupation (chofesh ha’isuk), and Basic Law: Human Dignity and Freedom (kevod ha’adam ve’chairuto.) The Freedom of Occupation law, which was passed 23-0, protected the right to engage in any occupation or employment not prohibited by law. The Human Dignity and Freedom law, which was adopted by a vote of 32-21, guaranteed the right to life, physical integrity, dignity, property, privacy, freedom of movement and freedom from unlawful search. Aharon Barak, then Justice and later President of the Supreme Court declared that these developments constituted a ‘Constitutional Revolution’, as a result of which “every branch of law had to change its fundamental concepts and its fundamental outlook.” [11] A new balance of power had been created, according to Barak, in which the judiciary had acquired much broader powers to oversee acts of the executive and legislature in order to ensure their compatibility with the ‘constitution’.

Barak’s and others’ designation of the events of 1992 as a constitutional revolution, and their use of that idea as a justification for a greatly expanded role for the Court, has proven very controversial. In my opinion, Barak’s description of the revolution as a conscious decision by the Knesset acting in its role as Constituent Assembly to transform the essential nature of the political system is unconvincing. [12] According to Members of Knesset from Labor, Likud, and the ultra-Orthodox Degel HaTorah whom I interviewed, there had been no special atmosphere or sense in the Knesset at the time of the passage of the laws that an act of particular significance was taking place. Revolutions are not generally carried out by one-fourth of the legislature, as in the case of the Human Freedom and Dignity law, or by one-sixth, as in the case of the Freedom of Occupation law. Of the four main speakers who spoke in favor of Human Dignity and Freedom in the Knesset plenum, two (representing two different segments of the religious population) were explicitly opposed to the idea that the law granted the Court the power to interfere in delicate issues. Uriel Lynn, then chairman of the Constitution, Law and Justice committee, also seemed explicitly opposed to the idea that the law would transfer power to the judiciary, though he may have employed a degree of creative ambiguity. Only then-Justice Minister Dan Meridor clearly took a different stance, indicating that the law would lead to greater power for the judiciary vis a vis the other branches of government. The general public including the media did not seem to attach particular importance to the passage of the laws. [13] Several other technical factors relating to the content of the laws also serve to make Barak’s claims problematic.

A better explanation for the promotion of the idea of a Constitutional Revolution was the desire of Barak and other justices to ensure that the actions and policies of the State would be tested against the Court’s conception of what was proper and legitimate in an ‘enlightened democracy’. They were supported in this by old societal elites, largely liberal, secular and Ashkenazic, who saw transfer of policy-making power to the Court as a way of preserving their policy preferences against the vagaries of democratic politics and assertive minorities. This claim is of course is controversial and subject to wide debate within Israeli politics and academia. [14]

The Israeli Supreme Court under Barak, who served as its president from 1995-2006, evolved into one of the most activist in the world, becoming involved in many of the most divisive political, economic and social issues facing the State. The Court ruled (or claimed the authority to rule) on economic questions such as the permissibility of welfare cuts and allocation of the national budget, on military questions including the conduct of the army while actually engaged in combat, and the route of the security fence, on policy questions such as the legality of the disengagement plan, and on sensitive ideological and religious issues such as the ban on the importation of pork, the recognition of homosexual marriages performed abroad, and the right of the state to prevent the naturalization of the Palestinian spouses of Israeli citizens.

Debates between those who support and those who oppose the Court’s activism and apparent ideological leanings are manifested in different proposals for aspects of the constitution. Those who wish to restrain the Court and who argue that it is the democratically-elected parliament which is most qualified to decide on these sensitive issues of ideology and policy seek to include within the constitution provisions that would grant the legislature greater power vis a vis the Court. Those who believe that the protection of those human rights that should be guaranteed in an enlightened democracy requires the careful guardianship of professional justices seek to ensconce within the constitution the current powers and jurisdiction of the Court.

Some of the central issues involved in the debate over the power of the judiciary and over judiciary-legislature relations include:

•    The method for selecting judges. Israel’s method for selecting judges is different to that in other countries. They are selected by a special committee made up of current justices including the Court President, members of the Israeli bar, Members of Knesset and government ministers. The dominant voice in the committee is that of the Court President. This has allowed the Supreme Court to decide who may and may not join its ranks and has led, according to the Court’s critics, to the ideological homogeneity of the court bench. Supporters of the current system claim that it ensures a professional judiciary, untainted by the factionalism that would ensue were politicians given a stronger voice in the selection process. Some of those who advocate reform of the selection committee, including current Justice Minister Daniel Friedmann, argue for the alteration of the committee’s makeup in order to give more of a voice to the executive and legislative branches. Others would like to see the power to nominate and confirm justices actually transferred to the legislature or executive.

•    The ‘Override’ or ‘Nonwithstanding’ Clause. These types of clauses essentially enable the legislature to ‘disagree’ with the Court’s interpretation of the constitution under specific circumstances. An override clause would allow a special or absolute majority in the Knesset (80, 70, 66, and 61 members have all been suggested as the minimum number) to decide that a law does not in fact conflict impermissibly with a right guaranteed in the constitution, despite a Court decision to the contrary. Basic Law: Freedom of Occupation contains an override clause, which was used to overrule the Court’s determination that the ban on importing pork violated rights guaranteed by that basic law. The Canadian constitution allows legislatures to attach preemptive nonwithstanding clauses to laws, which determine that the law is valid notwithstanding a future court decision to the contrary. There are those who advocate this kind of clause in the Israeli system as well.

•    The Roles of the Supreme Court. Should the highest court of appeals also serve as the constitutional court, as is the case in the United States, or should there be a separate court for constitutional questions, as in Germany and France? At least on the European continent, separate constitutional courts have tended to be subject to greater influence by the legislative and executive branches.

•    Standing and Justiciability. Should the constitution require that a petitioner to the Supreme Court have standing in that case? Can the areas over which the Court is or is not allowed to exercise jurisdiction be delineated in some viable way?


At the opening session of the constitutional discussions of the 17th Knesset, there was a debate within the Law, Constitution and Justice Committee over which course of progress would most likely produce tangible results. One member suggested proceeding directly to issues of religion and state since these had historically been the most contentious, while another suggested beginning with the sections dealing with the powers of the judiciary. Committee Chairman Menachem Ben-Sasson however, insisted that the opening sections dealing with the basic definition and character of the state be addressed first.

I believe that the second approach would be the most effective. Successful constitutional discussions will require willingness on the part of the representatives to compromise and make painful concessions in return for other benefits. Representatives will be unwilling to work out multifaceted compromises on contentious issues if they fear that, no matter what is agreed to, the Court may step in and alter the arrangements. Those who find their views supported by the Court will have less incentive to engage in negotiations and compromise, since the prospects for success via judicial victories are greater. At the same time, those who are opposed to the content and nature of the court-developed constitutional norms will deny their legitimacy, leading to greater political instability and polarization.

There is a growing realization among the Members of Knesset that more important than the actual phrasing of constitutional clauses is the identity of their authoritative interpreter. The most important question is ‘who decides?’ Constitutional proposals which seek to establish substantive compromises on contentious issues, but which fail to make structural changes in the current balance of power between the various branches of government, will not reassure those who are wary of the Court’s willingness to reinterpret statutes and expand its oversight. Furthermore, while the focus had traditionally been on matters of religion and state, current debate over the role of the Court concerns the Court’s involvement in a wide range of economic, political, military, and civil issues. In order for the Knesset to be able to create a constitution successfully, mechanisms must be in place to ensure that key issues relating to Israel’s identity and character will be determined primarily by the representatives of the citizenry and not by self-selecting and unaccountable judges.


1.    An Israeli constitution would not necessarily need to touch on all of these issues. Yet most modern constitutions contain the three elements of 1) ‘rules of the game’ (structure of the political system), 2) credos or basic principles and values of the society, and 3) a bill of rights.
2.    On the one hand, a number of Israeli Arab politicians, intellectuals and NGOs have called into question the legitimacy or desirability of Israel defining itself as a Jewish state. On the other, a poll conducted by the Israel Democracy Institute in 2007 concluded that 75% of Israel’s Arab population would support a constitution defining Israel as a Jewish and democratic state as long as equal rights for minorities were guaranteed. See Yoav Stern, “Poll: 75% of Israeli Arabs support Jewish, democratic constitution”, Haaretz.com, 4/29/2007, (http://www.haaretz.com/hasen/spages/853564.html) Last accessed 4/2/08.
3.    This approach was taken in the 1992 Basic Law: Human Dignity and Freedom and is found in the constitution proposed by the Israel Democracy Institute, and in alternative A of the draft presented to the 16th Knesset by the Constitution, Law and Justice Committee.
4.    This approach is taken in alternative B of the 16th Knesset’s draft constitution, and in the constitution proposed by the Institute for Zionist Strategies.
5.    Though this term is problematic in the Israeli context, as it is unlikely that its proponents actually intend the type of system generally described by that term, which exists in states such as France. In such a system, as nationality is seen as congruent with citizenship, no national minorities may be recognized or supported. There would be little room for separate state-supported Arabic educational or cultural institutions, such as those that currently exist, under such a system.
6.    In this and the following sections I do not attempt to list all of the relevant or important issues, only some of the prominent ones.
7.    Many Israelis went abroad to get married, particularly to Cyprus. These marriages were then given legal recognition in Israel.
8.    The issue of civil marriage would also likely affect the possibility of officially recognized gay and lesbian marriages.
9.    At the same time, the IDI’s constitution largely preserves and institutionalizes the expansive scope of the powers which the Supreme Court has assumed for itself. The debate over the Court’s powers and jurisdiction will be discussed in the next section.
10.    Quoted in Ran Hirschl, Towards Juristocracy, p. 169 (Harvard University Press; Cambridge, Mass, 2004.)
11.    Aharon Barak, “Human Rights in Israel,” Israel Law Review 39, no. 2 (2006), p. 18.
12.    See Barak’s opinion in United Mizrahi Bank v. Migdal Cooperative Village (CA 6821/93, 1908/94, 3363/94), particularly paragraph 57.
13.    For example, the Jerusalem Post relegated a story on the passage of Human Dignity and Freedom to page 12 of the next day’s issue.
14.    For a detailed argument in this direction, as well as a contextualization of the Israeli case within the worldwide trend of increasingly powerful judiciaries, see Hirschl, Towards Juristocracy.

Read Full Post »

By Gabriel M. Scheinmann

Gabriel M. Scheinmann ’08, a Government concentrator from Eliot House, graduates from Harvard this year.

In sharp contrast to the rest of the Middle East, Israel has experienced unprecedented economic growth and has even outperformed much of the developing world, based on multiple financial indicators. According to the International Monetary Fund World Economic Database, Israel has the highest Gross Domestic Product (GDP) per capita of all Eastern Mediterranean countries. Its financial ranking was upgraded recently to an A by the world’s leading credit agencies. [1] Furthermore, Israel, after the United States, has the second largest number of companies listed on the U.S. stock exchange. [2] Prominent American venture capitalists, such as Warren Buffet, have invested heavily in the Holy Land, instilling high confidence in the future growth of the country. [3] Few scholars have focused on the causes driving Israel’s economic success. Some historians have falsely argued that Israel’s success is a direct result of a reduction in defense spending as a percentage of GDP. However, a close examination of the statistical record demonstrates that the periods of greatest economic growth in Israel follow the implementation of liberal market reforms. As witnessed in the 1980s and the early 2000s, the roots of Israel’s blooming economy lie in liberalization policies that have started to free the Israel economy from direct government control.

Economic Growth and Military Strength

Historian Paul Kennedy was the first to put forth the argument that a powerful state cannot maintain strong economic growth if it has committed significant national resources to its military. Documenting the rises and falls of the great powers in modern history, Kennedy concludes that great powers decline when security and military ambitions take precedence over economic growth. He calls this situation military “over-stretch.” As an increasingly powerful nation with high economic growth and a significant military budget, Israel has become a great regional power, with an economy and a military on a European scale. However, the causal relationship Kennedy draws between military spending and financial decline does not accord with Israel’s continued economic success. An application of Kennedy’s analysis to the modern Middle East would suggest that Israel’s economic growth would only be sustainable if accompanied by a substantial decrease in defense spending.

Kennedy’s theory, published in 1987, maintains that it is impossible for a country, such as Israel, to maintain high GDP growth and high military spending. His theory rests on the idea that, in any country, “allocating over the long term more than 10 per cent (and in some cases—when it is structurally weak—more than 5%) of GNP to armaments…is likely to limit its growth rate.” [4] At first glance, the theory seems to explain the meteoric rise of the Israeli economy and the continued decrepit state of most Arab economies. While Israel has sharply reduced the percentage of GDP spent on defense from 21 percent in 1980 to 8 percent in 2006, Arab states have maintained relatively large armies and their economies have stagnated. The chilling of the Arab-Israeli conflict [5] and the end of the Cold War permitted Israel to cut military spending and allowed it to avert “over-stretch.” Israel could then start to reallocate military spending towards internal growth and development, and thereby spur economic growth.

However, Israel’s defense spending has remained far above the 5 percent threshold Kennedy claims necessary for economic growth. His theory states that “if, however, too large a proportion of the state’s resources is diverted from wealth creation and allocated instead to military purposes, then that is likely to lead to a weakening of national power over the long term.” [6] In high-performing Western countries, military expenditures never exceeded 5 percent—except during World War I and World War II. However, Israel devoted nearly 10 percent of its GDP to military spending in the periods of highest economic growth between 1988 and 1992, and 2005 to the present. Contrary to Kennedy’s otherwise compelling thesis, Israel has not experienced the economic decline predicted by its comparatively large defense spending.

As Appendix C demonstrates, Israel reduced the percentage of GDP devoted to military spending from 23.1% in 1981 to 8.1% in 2006. During this period, Israel also witnessed a nearly 400% increase in GDP per capita. This data appears to support the simplistic relationship between GDP growth and military spending. Financial historian Niall Ferguson, though disagreeing with Kennedy’s thesis, supports the idea “that there is a close correlation between democracy and defense/GDP ratios: less democratic states tend to spend significantly more on the military.” [7] While there seems to be a general correlation between democratic and economic development and a reduction in military spending, there is no evidence that reduced spending caused such advances in Israel.

Kennedy’s argument fails to explain the nuances in the link between military spending and economic growth. His theory does not address the patters of the Israeli economy in the past 20 years. From 1986 to 1992, Israel doubled its GDP per capita while only modestly decreasing military spending as a percentage of GDP from 14.2% to 10.7%. [8] Kennedy’s theory would have predicted a far smaller economic boost. Second, from 1995 to 2002, Israeli GDP per capita actually shrank, while military spending as a percentage of GDP remained constant. Third, the Israeli economy has exhibited dramatic growth since 2002, reaching Western levels of prosperity. However, Israeli military spending as a percentage of GDP has stayed between 7.9% and 9.5% since 1994 while GDP per capita has risen nearly 50%, from $15,567 to $22,975 in 2008. [9] Since 2002, the figures are even more striking. While military spending has declined by only 1.4%, GDP per capita has grown 33% from $17,267 to $22,975. The Israeli case has defied Kennedy’s theory.

Financial Reforms: Credit Creation and Fiscal Competence

In 1985, the Israeli government instituted a series of drastic financial reforms known as the 1985 Economic Stabilization Plan to stimulate the economy, which had experienced three consecutive years of low growth rates: 1%, 2.6%, and then 2.3%. [10] Immediately prior to 1985, the annual inflation rate had exceeded 400% and net external debt had reached 80% of GDP. [11] The stabilization plan introduced fiscal discipline, increased central bank independence, reduced government intervention in the capital, labor, and financial markets, and enhanced competition in markets that were previously dominated by monopolies. [12] The government liberalized capital flows, allowing increased foreign investment, enabling investment to exceed national savings, and making financial and capital markets more competitive. [13] Israel also adopted a fixed exchange rate, originally at NIS 1.5 per U.S. dollar, in order to stabilize the currency and quell inflation. [14]

The liberalization program produced an explosion of credit for Israeli citizens, encouraging investment and consumption levels that were previously impossible. Direct government involvement in the form of directed credit and earmarked deposits decreased from 65% in 1985 to 5% in 1998. [15] Israeli households received new lines of credit following the liberalization of mortgage lenders. The percentage of homes financed with unrestricted credit increased 40% between 1984 to 1998. For the first time, Israelis could invest freely, sparking a housing boom.

Following the implementation of the reforms, the Israeli economy emerged from its “stagnation.” The share of government expenditure as a percentage of GDP declined 20% in the following ten years. [16] GDP per capita doubled in 7 years, from $7,518 in 1986 to $14,636 in 1992. [17] Net external debt as a percentage of GDP declined from 72% in 1985 to 35% in 1989, with further reduction to 16% in 1998. [18]

By 2002, however, the Israeli economy had plunged under the weight of economic and security concerns. In 2002 alone, Israel suffered 60 suicide bombs. A major pension fund defaulted, unemployment reached 10%, and the economy shrank for two consecutive years, sliding into recession. [19] Further financial reforms were necessary.

Menaced by an unrelenting economic downturn, Israel overhauled its economy with major banking and market reforms. The 2005 Bachar banking reforms, shepherded by former-Finance Minister Binyamin Netanyahu, corrected the massive misallocation of credit administered by Bank Leumi and Bank Hapoalim, Israel’s two leading banks. The reforms liberalized the banking industry by breaking the banking giants’ duopolistic control on the market. Specifically, the reforms obliged Bank Leumi and Bank Hapoalim to sell all provident and mutual funds by 2008, [20] thereby opening Israel to fair competition. Prior to these reforms, the three largest Israeli banks controlled more than 80% of national savings. [21] Bank Leumi and Bank Hapoalim made 70% of all loans to only 1% of borrowers. Netanyahu also sought to eliminate the fiscal deficit by cutting government spending, which immediately dropped from 53% of GDP in 2003 to 47% of GDP in 2006. GDP per capita increased from $17,267 in 2002 to $22,975 in 2008, an increase of 33%. [22]

The Netanyahu-led financial reforms, which expanded the amount of credit available to Israeli citizens and reduced government involvement in the market, are the clearest drivers of Israel’s growth in the last five years. These liberalization efforts mimicked the 1985 Stabilization Plan, which similarly led to an explosion of GDP growth. Following the reforms, Israeli capital markets have issued more than NIS 100 billion of non-banking credit, leading to job creation, productivity enhancement, and growth. [23] Unemployment has decreased from 11% in 2004 to 6.9% in late 2007. [24] The only other Middle Eastern countries experiencing similar booms are Libya and Saudi Arabia, [25] petro-states which have reaped the benefits of the staggering recent increases in oil prices.

The Israeli economy has now experienced 20 years of near-uninterrupted economic growth. In 1980, GDP per capita stood at $6,356 while in 2007 it was at $22,975—on par with several European countries. [26] In 2008, per capita income adjusted for purchasing power parity (PPP) in Israel is projected to exceed that in France, Italy, and Germany. [27] Israel is the only Middle Eastern country considered an “advanced economy” by the IMF [28] and it was recently the first Middle Eastern country to be invited to join the Organization for Economic Cooperation and Development (OECD). [29] Israel is currently enjoying its fourth consecutive year of real GDP growth of over 5%. [30] With inflation low, unemployment dropping, and exports increasing, Israel’s market is doing better than ever, defying expectations that a state can succeed economically while facing real and imminent threats to its own survival.

Strategic Lift: A New World Outlook

As Israel continues to face growing and constantly adapting security threats, from the nuclear threats posed by Iran and Syria to the activities of terrorist groups at its borders, the country now finds itself in a vastly different geopolitical environment from that 30 years ago. Though it is still not at peace with the vast majority of the countries in its region, three major geopolitical events have transformed the Israeli economy and military, reducing military spending and spurring confidence in a once-fragile economy. A peace agreement with Egypt in 1979 neutralized Israel’s greatest threat and prevented future regional wars. In addition, the 1994 peace agreement with eastern neighbor Jordan legitimated Israel’s permanent status in the region. This period also witnessed the early negotiations between Israel and the Palestinian Authority. These peace-building efforts loosened the Arab economic boycott and permitted Israel to trade fully and freely with some of its neighbors.

The dissolution of the Soviet Union in 1991 also had a remarkable effect on Israel’s economic and strategic outlook. First, the immigration of over 1 million, largely skilled, Soviet Jews to Israel boosted the total output of the economy. Second, the reemergence of Eastern European countries and former Soviet republics created new outposts for Israeli exports. Furthermore, the disappearance of the Soviet Union, and its material and financial support for Israel’s enemies, such as Syria, Libya, and the Palestine Liberation Organization, changed Israel’s strategic stance dramatically. The tiny state was no longer threatened by a nuclear superpower or by her proxies. At the same time, Israel’s relationship with the U.S. has grown ever stronger. The “New World Order” has allowed Israel to reorient its military and no longer tremble at the prospect of nuclear destruction, allowing it to reduce military spending slightly. [31]


The dazzling success of the Israeli economy is not the result of a reduction in defense spending. Rather, it is primarily driven by the adoption of liberal market reforms meant to stimulate the economy and release it from government control. Liberalizing financial reforms preceded the two periods of economic growth. In 1985, the introduction of free capital flows, the adoption of a fixed exchange rate, and a reduction in the fiscal deficit liberated the Israeli economy from its stagnant state. Similarly, in 2002, a liberalization of banking laws, which heralded an unprecedented creation of credit, and a reduction in government expenditure galvanized the new market economy. With current Israeli defense spending at 8.1% of GDP, Israel has managed to achieve Western levels of economic success while still maintaining Middle Eastern levels of military spending, contrary to Kennedy’s expectations.

The percentage of national income Israel expends on its military is unlikely to change in the near future. The 2006 Second Lebanon War, Israel’s largest conflict in 25 years, barely increased military expenditures, while the economy continued to grow rapidly. Israel’s economic outlook is encouraging: tax burdens are decreasing, national debt is decreasing and the savings rate is still rising. Not only will Israel free itself from dependence on foreign investment, but it will also become a major foreign investor. Israel has managed to avoid Kennedy’s prediction of “over-stretch” casting doubt on the future applicability of the theory. More research must be done to examine the relationship between economic growth and defense spending, and the mechanisms through which defense spending slows the economy.

More importantly, Israel’s ability to maintain high military spending while developing a flourishing economy could serve as a model to the United States, which has increased its own military spending over the past few years. Though rhetoric of an “Israeli Empire” is usually reserved for the far-left, Israel is in the unique position to extend both its political and economic influence far beyond its borders.


1. Gad Lior, “Israel’s Credit Ranking to be Upgraded.” Ynet News, November 25, 2007.
2. Shirley Yom Tov, “The Nasdaq Loves Israel.” Haaretz, September 17, 2006.
3. Sharon Wrobel, “Buffet: Berkshire in Israel Forever.” The Jerusalem Post, September 18, 2006.
4. Paul Kennedy, The Rise and Fall of Great Powers (New York: Random House, 1987), 799
5. There have been no regional Arab-Israel wara since 1973. Moreover, Middle Eastern wars have shifted away from the Levant and into the Gulf.
6. Kennedy, xvi
7. Niall Ferguson, The Cash Nexus (New York: Basic Books, 2001), 405.
8. See Appendix C. Economic data from all appendices is from the International Monetary Fund, World Economic Outlook Database. Data on Israeli military spending is from the Israeli Central Bureau of Statistics.
9. See Appendix C
10. See Appendix D
11. Avi Ben-Bassat, The Israeli Economy, 1985-1998 (Cambridge, MA: MIT Press, 2002), 1.
12. Ben-Bassat, xiii.
13. Ben-Bassat, 15.
14. Joseph Djivre and Daniel Tsiddon, “A Monetary Labyrinth: Instruments and the Conduct of Monetary Policy in Israel 1987-1998,” in The Israeli Economy, 1985-1998 (Cambridge, MA: MIT Press, 2002), 96.
15. Ben-Bassat, 18.
16. Ben-Bassat, 2.
17. See Appendix C
18. Ben-Bassat, 42.
19. See Appendix D
20. Ido Efrati, “Bachar Reform clears Knesset,” Ynet News, July 26, 2005.
21. http://www.nysun.com/article/60856
22. See Appendix C
23. http://www.nysun.com/article/60856
24. “Unemployment Falls to 6.9% in October,” Ynet News, December 19, 2007.
25. See Appendix A
26. See Appendix A.
27. See Appendix B
28. IMF World Economic Outlook Database. http://www.imf.org/external/pubs/ft/weo/2006/01/data/dbginim.cfm
29. “Israel Invited to Join OECD.” Ynet News, May 16, 2007.
30. Economist Intelligence Unit. http://economist.com/countries/Israel/profile.cfm?folder=Profile%2DEconomic%20Structure
31. See Appendix C

Read Full Post »