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Breaking Jewish News Updated Throughout The  Day
 
What Now?
In Its Search for Social Justice, Israel Must 
Take the Third Way

 
August 14, 2011
 
By Benjamin Kerstein 
The protest movement that has dominated Israeli politics and culture for 
the  past month would seem to have run its course. It has succeeded in 
changing the  public discourse, rearranging priorities across the social and 
economic  spectrum, bringing hundreds of thousands into the streets, and 
garnering 
the  support of an overwhelming number of Israelis, according to some 
reports, as  much as 90 percent. 
In terms of concrete accomplishments, however, not much has happened. The  
Netanyahu government has put together a blue-ribbon panel to examine the  
situation and recommend reforms. According to _Haaretz_ 
(http://www.worldjewishdaily.com/toolbar.html?4t=extlink&4u=http://www.haaretz.com/news/national/ne
tanyahu-i-understand-my-views-on-israel-s-economic-policy-need-to-change-1.3
77784) , there are some good signs that the panel,  unlike most similar 
bodies, may actually intend to do something: 
Netanyahu told Professor Manuel Trajtenberg, the head of the panel of  
experts who will talk with protest leaders, that he understood it was  
necessary 
to change economic policy.   
But Trajtenberg went further, telling Netanyahu he had to change his  
fundamental positions. Netanyahu agreed and said he had read a new book about  
how Herzl adapted himself to changing circumstances. 
"I understand my views need to change," Netanyahu reportedly  replied.
There is a strong possibility, however, that this is simply a stalling  
tactic. Netanyahu may well be hoping that, come the U.N. vote on Palestinian  
statehood in September, the protests will be quickly forgotten and things 
will  return to normal. By the time the panel issues its report, no one will 
care or  even pay much attention. 
If true, this is likely wishful thinking on Netanyahu's part. The objective 
 economic factors that have driven the protests - income inequality, high 
prices,  shortage of housing, under funded public services, etc. - will not 
go away by  themselves. Even if public sentiment is moderated by concern over 
security  issues, after a short period of time it will likely return, 
angrier than ever,  to the issue of social justice. No god, the saying goes, 
can 
stop a starving  man. 
There is no need, however, for Israel to wait on the PM's panel. The 
process  of reform can be undertaken immediately, and on a non-partisan basis. 
At 
this  very moment, a viable right-left social justice bloc already exists in 
the  Knesset. It would be composed of the major opposition parties Kadima 
and Labor,  along with large sections of the Likud and the religious parties. 
 
Given the widespread sentiment across all sectors of society in favor of  
reform, major legislation would also likely be supported by Meretz, the  
religious nationalist parties, and the Arab parties. Such an informal coalition 
 
would compose well over half the Knesset. More than enough to enact the 
reforms  the public is demanding so fervently. 
This is the case because, in spite of its success over the last few decades 
 in remaking Israeli society, the free market system favored by Netanyahu  
actually has very little political support in Israel. At most, it is 
fervently  believed in by Netanyahu and a few of his close advisors. Everyone 
else 
has gone  along because it seemed to be necessary and seemed to be working. 
Now, it seems  to be doing neither. 
For most of Israel's neoliberal era, support or acquiescence in free market 
 policies was also driven by two other factors: an acknowledgement of the  
historical failure of socialism, and a fear of returning to the bad old days 
of  Israeli austerity and the domination of the Labor Party. Neoliberalism 
appeared  to be, under these circumstances, the only viable policy. 
There is already another option, however, and it may be uniquely 
well-suited  to Israeli society: the "third way." 
Third way economic policies have been described by economist _Joseph E. 
Stiglitz_ 
(http://www.worldjewishdaily.com/toolbar.html?4t=extlink&4u=http://nobelprize.org/nobel_prizes/economics/laureates/2001/stiglitz-autobio.html)
  
as a system that 
recognized the important, but limited, role of government, that unfettered  
markets often did not work well, but that government was not always able to 
 correct the limitations of markets.
A successful third way policy would be a synthesis of the virtues of  
socialism and the free market system, while using both systems to ameliorate  
each other's flaws. It would involve, for example, a country in which 
businesses  are encouraged to flourish and grow, but the tax revenues garnered 
by 
this  growth are then channeled into the public sector in order to provide for 
a more  equitable distribution of wealth and a strong foundation of basic 
services like  education and health care. 
In a small, tightly-knit, socially conscious, but also dynamic and innovate 
 nation like Israel, a third way policy would likely be both successful and 
 garner widespread political support. 
The third way is often linked to two other political-economic concepts: the 
 "_radical center_ (http://en.wikipedia.org/wiki/Radical_center_(politics)) 
" and _communitarianism_ (http://en.wikipedia.org/wiki/Communitarianism) . 
A radical center stresses the  importance of a pragmatic middle way between 
more extreme ideological poles,  while communitarianism emphasizes the 
importance of recognizing the  non-political binds that unite various 
communities 
within a larger nation, as  well as a recognition of the responsibility of 
these communities to their  members and the state's responsibility, in turn, 
to these communities. 
In many ways, Israel is already a communitarian society, with a highly  
fractured society composed of many different ethnic and cultural groups, most 
of  which are nonetheless united on certain basic principles. The state, 
moreover,  grants substantial rights and autonomy to many of these groups and 
recognizes  the importance of their communal bonds. 
The radical center has had a rough time of it in Israel as late, but there  
are strong indications that it also exists, albeit in latent form. The  
90-something percent of Israelis who support the protests come, must come, from 
 many different groups and sectors in Israeli society. It is highly 
unlikely that  this massive majority supports the more extreme demands of the 
protest leaders.  They come, must come, from Israel's beleaguered middle class. 
They want radical  change, but they want that change to be neither socialist 
nor neoliberal in  nature. They must be, in other words, radical centrists. 
Squeezed between the radical socialists and anarchists who are attempting - 
 quite unsuccessfully - to hijack the current discontent to their own ends, 
and a  small but powerful neoliberal establishment, this radical center 
needs and  deserves a third way, and the Knesset should act immediately to 
satisfy its  demands. 
It should do so by informally establishing the social justice bloc I  
mentioned above. This bloc should then propose legislation that deals solely  
with social and economic reform, avoiding the fraught and irrelevant issues 
that  have driven Israeli politics to its current impasse. 
Israel has reached another historic moment. The failure of neoliberalism 
has  been far less severe than that of socialism, and the human cost has been 
hardly  comparable, but it has failed nonetheless. If Israel wants to avoid 
the terrible  consequences of that failure that have now engulfed most of 
the rest of the  world, it must act and act soon. 
Israel is lucky in that all the tool to do so are readily available. There 
is  a third way and there is the political means to enact it. The radical 
center in  the streets has found the will to act. It is time for the radical 
center in the  Knesset to do the same.

-- 
Centroids: The Center of the Radical Centrist Community 
<[email protected]>
Google Group: http://groups.google.com/group/RadicalCentrism
Radical Centrism website and blog: http://RadicalCentrism.org

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