These questions are certainly worth exploring, yet they often dominate the discussion at the expense of indicators which might be equally telling: who's making money, and how.
Israel is a deeply divided country. A recent report presented to the Israeli cabinet as the country files for membership in the Organization for Economic Co-operation and Development found that the nation would be the most "unequal and poor" in the group. One-fifth of the population lives below the poverty line and only half the nation earns wages "suitable for a developed country."
Eighteen families now control fully 60% of the equity value of all Israeli companies. Between 2005 and 2007, Israel produced more millionaires per capita than any other country. According to a recent article in the Jewish Standard,
Top managers can earn as much as $523,000 a month, compared to the $1,440 monthly income earned by the average Israeli, according to the Adva Institute. “Israel now worships the golden calf of the free market: privatization and sink-or-swim competition,” Yossi Melman, a senior writer for Israel’s daily Haaretz, wrote in a blog for the Washington Post.The breakdown also has a racial/ethnic dimension. In 2004, the Adva Center released a report which found that Ashkenazi Jews per capita made 136% of Israel's national average salary, while Arab-Israelis only brought in 75%.