October 12, 2014

Netanyahu Criticizes Obama for Condemning Israel's Settlement Expansion into Arab East Jerusalem, Where the Capital of the Potential Future State of Palestine Would be Located

Israel has a population of approximately 7.8 million, or a million fewer than the state of New Jersey. It is among the world's most affluent nations, with a per capita income similar to that of the European Union. Israel's unemployment rate of 5.8% is better than America's 7.3%, and Israel's net trade, earnings, and payments is ranked 30th in the world while the US sits in last place at a dismal 193rd. Yet, Israel receives more of America’s foreign aid budget than any other nation. The US has, in fact, given more aid to Israel than it has to all the countries of sub-Saharan Africa, Latin America, and the Caribbean combined—which have a total population of over a billion people.

And foreign aid is just one component of the staggering cost of our alliance with Israel. Given the tremendous costs, it is critical to examine why we lavish so much aid on Israel, and whether it is worth Americans' hard-earned tax dollars. But first, let's take a look at what our alliance with Israel truly costs. Before the Iraq War in 2003 Direct Foreign Aid According to the Congressional Research Service , the amount of official US aid to Israel since its founding in 1948 tops $121 billion (adjusting for inflation, $233.7 billion as of March 2013), and in the past few decades it has been on the order of $3.1 billion per year. (In 2014, for example, this amounted to $8.5 million every single day.)

But this money is only part of the story. For one thing, Israel gets all of its aid money at the start of each year, rather than in quarterly installments like other countries.This is significant: It means that Israel can start earning interest on the money right away – interest paid by the US since Israel invests these funds in US Treasury notes. In addition, because the US government operates at a deficit, it must borrow money in order to give it to Israel and then pay interest on it all year. Together these cost US taxpayers more than $100 million every year.

Israel is also the only recipient of US military aid that is allowed to use a significant portion annually to purchase products made by Israeli companies instead of US companies. (The costs to Americans caused by this unique perk are discussed below.) In addition, the US gives roughly $1.6 billion per year to Egypt and Jordan in aid packages arranged largely in exchange for peace treaties with Israel. The treaties don’t include justice for Palestinians, and are therefore deeply unpopular with the local populations.

- IfAmericansKnew.org, April 12, 2013

White House jabs Netanyahu over 'American values' critique

White House Rejects Netanyahu's Criticism With Withering Response White House Rejects Netanyahu's Criticism With Withering Response
  1. [$$] U.S., Israel Spar Over Iran, Peace With Palestinians The Wall Street Journal
  2. Differences over Iran, settlements mar Netanyahu-Obama talks AFP
October 6, 2014

AFP - It was another turn for the worse in the tense relationship between President Barack Obama's administration and Netanyahu, amid deepening fallout from a meeting between the two leaders last week.

After those talks at the White House, Washington strongly condemned reported Israeli plans to give the go-ahead for thousands more settler homes in East Jerusalem, prompting Netanyahu to return fire in an interview broadcast on US television Sunday.

White House spokesman Josh Earnest said it seemed "odd for (Netanyahu) to try to defend the actions of his government by saying that our response did not reflect American values."
"It's American values that lend this country’s unwavering support to Israel," Earnest said.

"It's American values that have led us to fight for and secure funding to strengthen Israel's security in tangible ways.
"It's American values that have led us to fund and build an Iron Dome system that have protected the lives of countless innocent Israeli citizens.

"It's American values that have led the United States to fully support Israel's right to defend itself. And it's American values that have led us to defend Israel in a variety of international forums, including a variety of United States forums."
In a portion of an interview with CBS Show "Face the Nation" that was carried online, Netanyahu said he found US criticism of settlement policy "baffling."
"It's against the American values. And it doesn't bode well for peace," he said.
Last week, Israeli Public radio quoted Netanyahu as telling Obama in talks in Washington on Wednesday to "study the facts and details before making statements" about the settlement plan.


The approval of 2,610 new housing units in Israeli-annexed Arab east Jerusalem angered Washington. Earnest said at the time it would "distance Israel from even its closest allies."

Netanyahu told Israeli journalists after the meeting that the plans had been in the pipeline for two years.
Housing Minister Uri Ariel told Israeli army radio that 1,000 of the units would "go to Arabs," but did not elaborate.

Israel's settlement building in the occupied West Bank and annexed east Jerusalem, which is illegal under international law, has caused the breakdown of several rounds of peace talks.

The settlements are built on land the Palestinians want for their potential future state, whose capital would be in east Jerusalem.

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