How Israel Became Rich Surrounded by Poor Enemies

In the early 1980s, Israel was on the brink of total economic collapse. Inflation soared above 400%, supermarket shelves were empty, and people lined up for basic goods while their salaries lost value by the hour. The shekel was practically worthless, and the country faced constant wars, a lack of natural resources, and a fragile economy dominated by state-owned companies and labor unions.

Fast forward just four decades, and Israel now ranks among the world’s wealthiest nations per capita. It leads the world in cybersecurity, agricultural innovation, artificial intelligence, biotechnology, and defense technology. How did this tiny, desert nation transform itself into a global economic and technological powerhouse?

In this video, we explore the remarkable story behind Israel’s economic miracle — from hyperinflation and poverty to becoming the “Startup Nation” with more than 7,000 startups and some of the highest R&D investment in the world. You’ll discover how bold reforms, smart economic strategies, and a relentless focus on innovation turned a struggling country into a first-world economy.

If you think economic success depends on natural resources or a large domestic market, this story will make you think again.

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