Daily WATCH! Volume 2 Issue 84, Friday, May 23, 2002

IT'S THE ECONOMY STUPID!?

By Randy Loudenslager

Israel's economy is stumbling around. The government's credit rating was in danger of being down graded. Operation Defensive Shield and the on going call-up of military reserves to deal with anti-terror security is draining the government's coffers. What were they to do? An emergency plan for the economy was drawn up and instantly attracted fire from all sides of the political spectrum, everyone promising it would go down in defeat, an embarrassment to Prime Minister Sharon. Sharon gambled and counted the heads of his traditional supporters in the coalition government. By his assessment he would be able to squeak this through.

Much to the amazement of most everyone the stimulus package was defeated in the first vote. A very angry Sharon glared at his long time allies from the Shas and United Torah Judaism parties and had dismissal notices fired off to their members of the cabinet. They were fired, the price to be paid for this perceived treason. Sharon, the crafty politician he is, gave them 48 hours notice and leaked information that if they voted for the economic package the second time around he would relent and let them back in. It didn't happen, Shas members in the Knesset abstained from the vote by walking out before the second vote was taken. The Shas strategy was to abstain so as not to do further damage to Sharon and to save face for themselves so that it wouldn't appear as if they were groveling at Sharon's feet. The ploy failed for Shas, leaving her leaders and members crying revenge.

Was this firing of the two remaining haredi (ultra-orthodox religious) parties of the cabinet and coalition government necessary just over differences on the economy? Last week I showed you how the religious groups would be isolated and forced to the outer fringes of society. This week it has begun to happen in earnest! I wrote that Sharon's own Likud party would face this pressure as well. They are the major power party of Israeli politics, but they failed to support Sharon's swing from the party's platform against a Palestinian state to the support of an eventual state. Likud has vowed to oppose any move towards a Palestinian state and this was echoed by the haredi parties who although smaller and less powerful by themselves form powerful alliances on common interest issues.

Sharon still maintains a majority government by a hairsplitting few votes, but this majority was not enough to cover the economic packages approval vote. Where did the support that passed the bill come from? The Labor party, a strange bedfellow indeed! Labor, who's increasingly obvious lean to the left makes it diametrically opposed to Sharon's policy on almost every issue, nonetheless allied itself behind Sharon to save the day.

Labor was quick to praise Sharon's wisdom in all of the Israeli media outlets for sterilizing the coalition government from the influence of the haredi. Labor Party chairman Defense Minister Binyamin Ben-Eliezer had this to say about the move, "Once the haredi parties are outside the government, we in Labor have a greater public responsibility to help the government deal with the complex economic and security situations." The secular and non-coalition member Shinui party's chairman Yosef Lapid commended Sharon,"This is the first time a secular prime minister has ever stood up to haredi extortion and he is worthy of praise," Lapid said. "If [Ehud] Barak had demonstrated such bravery, he would still be prime minister today."

Sharon is enjoying unprecedented popularity in the public opinion polls after his success with Operation Defensive Shield. What he is doing is very calculated and exemplifies his shrewdness in the political battlefield. Sharon never backs off when he wants something. He is a master in making it appear that he is backing off and yet his survivability shows his willingness to wear coats of different colors. He has already conceded that eventually Labor will get its way and a Palestinian state will be born. All he wants to do is slow down the race by the liberal establishment to make it happen over night. Labor is obviously waking up to the realization that Sharon may be more friend than foe and have begun to warm up to him. Expect the next faze of the journey to be one of subtle compromises between Sharon and Labor. They will still pose as enemies, for the sake of the still powerful Likud, but their actions speak louder than rhetoric.

Sharon, with Ben-Eliezer's support, is considering calling new elections. The purpose behind this is that Sharon is riding a wave of popularity right now and feels that he could overcome a challenge from his Likud opponent, former Prime Minister Binyimin Netanyahu. In doing so he will be able to claim a mandate for his policies and will feel free of restraint from Likud's policy against a Palestinian state. Labor knows that it can't beat either Likud candidate so they will support Sharon. Such a scenario would hasten the slide towards a Palestinian state and thus rebellion against God's covenant.

The possibilities of haredi parties coming back into the government are slim but possible, but if they want in they will have to play secular ball from now on, something they say is not likely as long as Israel's land is up for barter.

Sharon will not only receive support within Israel, but the entire world will applaud him for his heroic struggle against those who oppose rebellion against the covenant by the formation of a Palestinian state. The momentum is clearly heading for a Palestinian state leaving Likud to fight for the details. Perhaps the haredi will get their temple as a compromise.

If the leader of the main opposition to the formation of a Palestinian state is actually for its formation then the end surely cannot be far away. God is clear that He will punish the rebellion of Israel. Compare for yourself: Esau despised his birthright for a bowl of stew, Israel is considering despising her birthright for 3 1/2 years of peace. Pray for the haredi that they will stand firm in their faith, their hour of trial has only just begun.

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