Bruce has a post concerning Israel, here's my take:
Israel: A militaristic state surrounded by enemies outnumbering them 10/1. Yes they are a democracy, but their only weapon of survival is keeping those surrounding them in fear of their military. It worked in 1948 when they created their country. They used their armed forces to good advantage in 1967 and defended it well in 1973. Since then no single country around them has tried to invade them and they are on the defensive against terror attacks. Their only real chance of survival is to increase their population, which they've done by birth rate and taking in Jews from Eastern Europe, and then slowly driving out the Palestinians with settlements in the occupied areas gained from the 1967 war. The U. N. can recognized Palestine as a separate country, but slowly and surely Israel will shove them out and fill up what they conquered. The stubborness of the surrounding countries refusing to admit them as refugees is delaying Israel's success, but won't stop it. This will not be a process for the squemish and hasn't been since the British left and the whole mess got started.