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we had to go through the ex-
perience to understand it."
At the same time, Israel is
a nation built on social wel-
fare, he says. "That's basic to
the Jewish state. It's a dif-
ferent ethic" than the dog-
eat-dog approach of
capitalism.
Besides, he says, noting
the recent financial woes of a
number of U.S. airlines and
other big businesses — since
when is capitalism such a
consistent winner?
The Histadrut's goal is to
combine the altruistic ideals
of social welfare with the fi-
nancial rewards of a free
market: look after the work-
er, but still make a lot of mon-
ey.
'What we're moving to-
ward is an efficient, cost-ef-
fective mode similar to some
of the Scandinavian coun-
tries," Mr. Goodman says.
"It's not socialism. It's not
capitalism. It's just good
sense."
Socialism — or as Mr.
Goodman calls it, "social wel-
fare" — has been a way of life
in Israel since the state's es-
tablishment.
The dream of Zionist lead-
ers like Chaim Weizmann
and David Ben-Gurion was
to populate the country with
socialist workers and pio-
neers. In comparison, "The
rescue of thousands of Jews
is, for me, only a mundane
concern," Weizmann said.
With a Zionist haven, not
fiscal management, on their
minds, new immigrants read-
ily embraced socialist policy.
They believed it was part and
parcel of a new world — a
world without anti-Semitism
and a comradeship extending
to workers everywhere. In
the words of Zvi Shatz, a
founder of an early commune
in pre-state Israel, "I believe
our salvation lies in a pro-
found messianic movement
that will reform the human
soul and establish a new or-
der. It will also fashion a new
economy for us."
Benefits of the "new econ-
omy" have yet to appear. In
1992, the average monthly
salary of the Israeli worker
was $1,000. Unemployment
is at around 11 percent, 35
percent for Russian immi-
grants.
Such figures are even more
tragic in light of the fact that
so many Israelis, and immi-
grants, are well educated,
Mr. Littman says.
"This suppression of nat-
ural growth, of allowing pol-
itics to overwhelm economics,
of shielding people from their
own potential — it's a first-
class crime."
Mr. Littmann does not ad-
vocate going cold turkey. Buy,
Israel must work toward a
goal of financial indepen-
dence and a competitive mar-(
ket. First, "those debilitating
subsidies and quotas have to
stop."
Second, Mr. Littmann rec-
ommends increased incen-
tives for foreign investment,
starting with a reduction in
government-dictated tariffs.
Such tariffs mean those liv-
ing in Israel who want to buy
American-made Hondas are
really forking over the bucks.
Imported automobiles are(
taxed up to 180 percent —
making your dream car about
$40,000.
Of the American contribu-
tions pouring into Israel,
some dollars go to help fund
universities and charitable
institutes, or to hospitals like
Hadassah and Shaarey
Zedek. No one questions the
importance of, and need fo,- /
such donations.
Yet the major chunk goes
to the Jewish Agency, an or-
ganization renowned for its
red tape.
Each year, the United Jew-_,
ish Appeal funnels millions,
via the United Israel Appeal,
to the Jewish Agency for Is-
rael. In the year ending in
1991, the UJA donated more
than $563 million to the Jew-
ish Agency.
UJA National Chairman
Joel Tauber of Detroit be-
lieves such contributions are (
vital both for Israelis and
American Jews.
Mr. Tauber says it is the,_,
responsibility of Diaspora
Jewry "to bring our people
home." (The Jewish Agency's
main focus is resettling new
immigrants).
But even more than that,
playing a financial role "gives/
the world Jewish communi-
ty outside Israel the sense
that they're helping in the na-
tion building." It is a basic
component of the "We Are
One" approach.
What American Jews con-
tribute is anything but a
detriment to Israel's growth,
he says. "It's a small number
of dollars in relation to the
entire budget — an enhance-
ment, not at all crippling." ❑