It looks like the Arab Spring is really going to result in “moderate liberal democracies” 

http://www.ynetnews.com/articles/0,7340,L-4153207,00.html

1. Egypt

- peace treaty with Israel

-return of Sinai

- Diplomatic relations and trade with Israel

2. Palestinians

-autonomy for Palestinians in Judea and Samaria (West Bank)

This dragged on stagnated

1. Egypt and Syria needed to restore their honour after their previous humiliating defeats

2. Israel was overconfident from its previous military victories and because the United States was supplying arms to Israel. (It was the Cold War and the Soviet Union was providing arms to the Arab countries)

3. Sadaat, (Egypt) wanted Israeli withdrawal from the Sinai before/without negotiations 

4. Syria and Egypt prepared for a surprise attack with the support of the Soviet Union

5. Israeli intelligence ignored reports as they thought an Arab attack was unlikely during Ramadan (and they wouldn’t dare attack Israel because of Israel’s military prowess).

(AFP)

Israel called Sunday for an immediate return to peace talks under the framework of a proposal by the Quartet — the United States, the European Union, the United Nations and Russia.

But the Jewish state said the plan included no preconditions — an interpretation the Palestinians quickly rejected.

Unemployment in Israel stands at 5.5%, a figure that is historically low.  By comparison, unemployment in the US is above 9% - close to double.

When the majority of Jews lived in America, Hashem sent a shefa, an overflow, of material blessing to the US.  However, since the majority of Jews now live in Israel, the direction of the flow has shifted. Israel’s economy is strong and getting stronger. The economies of the US (and Europe and Russia) are in decline.  One doesn’t have to be a Torah Jew to see how clear this is.  Just watch the news.

- Bat Aliyah