I seem to recall seeing on this list that latex now uses true type fonts by
default, at least for hebrew. I don't see, to see this on my latex + ivritex
under debian.
Is this true, is debian ivritex out of date or should I switch to texlive
(although the hebrew package seems to state type1 fonts)
I am unfamiliar with debian, but if you have an up-to-date tetex, you don't
actually need ivritex to typeset hebrew - most of Tzafrir changes are already
included into CTAN's babel.
Check the version of hebrew.ldf: if it is 2004/02/20 v2.3h you're fine.
Then, you should only convince latex to