Palestinians continue their attacks on Israeli settlements.

Israeli voters have lost most of their support for an independent Palestine and back stronger military measures against Palestinian terrorism. 

The Israeli economy is in recession because of the violence and the government is cracking down on the movement (legal or illegal) of foreign workers into the country. These workers have been replacing Palestinians, but with the Israeli unemployment rate expected to double to ten percent in the next year, it is thought that many unemployed Israelis will take jobs that were previously done by Palestinians and foreigners.