Opinion & Comment
Politica
The Real Netanyahu Shows his Face

Perhaps due to feelings of frustration over Israel's dismal economic state, Finance Minister Binyamin Netanyahu seems to think he found the main cause for the country's economic and social ails: large families--especially large chareidi families--and a high birth rate. In a recent interview the Finance Minister said families cannot grow and grow unless the parents first consider whether they have the financial means to provide for their children. He says children cannot be raised on child support payments. "This is simply an incentive that will lead us to economic and demographic collapse," he opined.

Following the subsequent onslaught against Netanyahu in the chareidi press, he sent a letter of apology and clarification to several chareidi newspapers, while opting not to send the letter to the mainstream press. Apparently Netanyahu prefers to maintain his "enlightened" image within the general public by echoing Tommy Lapid's and Avraham Poraz' views on children.

Observers were left to wonder which is the real Netanyahu-- the man who expressed regret in the chareidi press and who visited a large chareidi family living in a two-room apartment in Bnei Brak while he was courting the chareidi vote during his campaign against Shimon Peres eight years ago, or the man who now seeks to come across as Lapid's or Poraz' twin brother?

A few days later the answer became clear when the government decided to accept the Finance Ministry's recommendation to cut another NIS 1.25 billion in Bituach Leumi payments, including Child Support Payments.

Netanyahu then voted against the proposal, a totally ridiculous, populist vote, for had he not wanted it to be tabled it would have never been brought before the government in the first place. Two days later he announced he intended to reduce the cuts, but this was not enough to blur the picture of the real Netanyahu; the apparent change of mind was simply in response to the harsh criticism by the press and public.

The real Netanyahu believes the Israeli elite should continue to receive government support in various forms whereas the poor should learn to do without. This is his doctrine, which is well-remembered from his term as prime minister, and now he is even more motivated to implement it as Finance Minister.

No Escape

When the Finance Ministry started talking about the 2004 budget two months ago and when it became clear another sharp cut would have to made, Netanyahu pledged not to touch Bituach Leumi payments that had already been reduced. When he appeared before the Knesset Finance Committee last month he reiterated these remarks, although he said payments that had not yet been lowered could very well face budget cuts.

But in the Finance Ministry, as always, words are one thing and deeds are another. Ministry officials only know how to uphold promises when taking away from the public, particularly the poor and the weaker elements of society.

A salient example of these one-way pledges is the Value Added Tax. When it was raised from 17 percent to 18 percent, a decision was made to raise the tax only temporarily and at the end of 2003 the tax would return to 17 percent. Until recently the Finance Ministry sounded like it intended to honor this pledge, but when the time came officials suddenly announced it would remain at 18 percent in 2004 as well.

In the area of defense policy we seem to be in a vicious circle. Following terror attacks Israel launches a powerful assault on Palestinian targets and assassinates ranking terrorists, which is then followed by another attack, more assassinations, etc., etc.

In the area of economics, as well, there seems to be no escape from the grim reality. The Finance Ministry puts forward an economic plan including wide ranging cuts. This means the public has less money at its disposal, which dramatically reduces buying and spending. As a result the government collects less tax money and further cuts have to be made. Once again the public has less money, less tax money is collected, etc., etc. The proof: for two years the budget has been constantly cut by tens of billions of shekels, yet the economy has not recovered, as if there is no remedy. And we have yet to see light at the end of the tunnel...

All material on this site is copyrighted and its use is restricted.
Click here for conditions of use.