Rate hike by the Fed as a "Dream Experience"

Capital Market commentators around the world in recent years devote extensive articles explaining movements in the market according to psychological motives, stemming most from the international virtual community. Fashionable trends have become more legitimate than rational considerations, because they motivate the human creativity. Thus the concept of "dream companies", with their name creating more value than the products they sell, as brands in fashion, which besides the name on top of the product have no difference from similar companies.

So it is strange that many commentators of the capital markets do not attach to the Fed's decision about raising interest rates the same ''trendy'' meaning .

If the common investors are affected by ''trendy'' when buying and selling shares, they are influenced by the "trendy" just the same when the Fed raises interest rates. In other words, the small interest rate hike, if there is one at all, has great significance much more than its actual value.

Many stock investments with the "facade fantasy" will disappear. Many investors will sell their shares in the coming days, in order to ride on the wave of "dream of falling", which has a strong psychological meaning almost like the "dream of rising".

We are expecting a sharp decline in the indices of the US equity market, which will be ruthless, long, and difficult to repair.

It is possible, by the way, to also assume, according to the principle of "dream decision", that the motives of the members of the Fed regarding interest rate hike were not rational, but stemmed more from the need to belong and take part in some way, even if negative, in the dreams created by the stock market. May the Fed's force be with you!

Startup Nation

The international financial press and propaganda machine of Israel crown the state as the "start-up nation". To understand the meaning of it these days we should remember, on the eve of the signing of the the "gas agreement layout", the difficult years beore the current economic realities.

1968-1973 - During these five years the State of Israel was supposed to celebrate its victory in the Six Day War. The military achievement was dissolved in the War of Attrition with Egypt, international boycott, and the development of Palestinian terrorism that culminated in the murder of Israeli athletes at the Munich Olympics in 1972. Economically it was the peak years, when Israel had oil supplies in the Gulf of Suez which provided all the needs, and the defense budget was reduced. Sinai has provided countless potential for employment, prosperity and residence and it seemed that every citizen has come to rest and tranquility.

1973-1978 - During these five years the country faced a grave combined defense, economic and political crisis. Results of Yom Kippur War forced the state to greatly increase the defense budget, relying on loans and grants from the United States and to deal with international boycott, which peaked with the declaration of Zionism as racist on UN podium. Its arrow head was OPEC cartel that had raised oil prices to a level that forced most countries to limit the use of private transport.

1978-1983 - During these five years, after the peace agreement with Egypt and the full granting of the Sinai Peninsula for a document, some believed that the good intentions of Menachem Begin bring will desirable results, and the state will recover quickly from the the political-economic-social-defense crisis. It was not what happened. Uncertainty about the intentions of the Egyptians led to continued high defense budget, OPEC cartel became stronger, together with increased dependence of Israel on the United States. Israelis migrated in masses  abroad. But worst of all was the  destructive inflation of hundreds percents a year, which raged in those years and has caused irreparable damage. Causes of the inflation were not yet been clarified, although that citizens thought that the government prints paper money backed by grants from the US. It was accompanied by serious a case of corruption known as ''the bank shares crisis'' that led to the conviction of the largest banks of running their shares. First Lebanon War began with the invasion of Beirut, in what appeared to be a political distraction. The country was on the verge of collapse, but the founding generation, who knew much more difficult times, did not failed to meet the test again.

1983-1988 - IDF soldiers in the reserves, so deeply sunk in the Lebanese mud, realized that it is "the same lady with another dress'' and thought of new mind patterns which will provide insights and tools for the future. Original thinking of few individuals formulated the starting process of changing the sad reality.

1988-1993 - the revolutionary mind change in Israel as a result of Lebanon war led to a global chain reaction, the collapse of the Soviet Union and the blessed immigration of one million Jews to Israel. The intelectual efforts made in order to deal with their absorption was at the expense of solution of structural problems in society and economy and the awakening of reactionary forces from various sectors.

1993-1998 - Cancellation of the "Lavi" aircarft project gave the signal to launch the first Intifada. Palestinians, in the two Intifadas, slaughtered helpless Jews and the government was powerless. From Lebanon and the Gaza Strip landed consant attacks of rockets  on Israel, with no solution in sight. In the defense chaos the immigration from the Soviet Union got estqblished, togehther with the reactionary forces that have arisen. Privatization process gave to few tycoons families the best state assets. Religious reaction was on the rise, together with huge budgets to religous settelments. The most significant reaction occurs in the field of urban and regional planning, which continued to be utterly neglected. Neglect in planning has created a clash between two territorial masses of Israelis and Palestinians, which has become a form of terrorism.

1998-2003 - The people were "Waiting for the Messiah" and the messiah came in the form of "Internet". The Internet has created the socio-economic transformation that the generation of IDF soldiers in Lebanon were looking for. The PC plus Internet had become the tool  which allowed expanding the mind to horizons hitherto unknown in the history of mankind. Borders limits were erased and it allowed for working from home and for many Israelis jobs were created in this way. The Startup Nation was born.

2003-2008 - The process of globalization Internet has created became central to economic and social development world wide. Global balance of power changed with the rise of China, the formation of the European Union and the creation of online commerce and social networking. The relative advantage of the state of Israel faded.

2008-2013 - There is a serious housing shortage in Israel and the government is trying to encourage the Israeli entrepreneurial flair through "urban renewal" programs, a failed venture that leave the people at the mercy of real estates sharks.

2013 onwards - The circle of poverty is widening and the country's demographic is crystallized to three blocks, equal in size and power more or less: Secular, Religious, Arab. The secular block, which established the state and was a demographic majority and its economic engine, is completely eroded under the title: "The middle class has disappeared".

Zionist, Jewish, liberal, Green

To the titles of: Zionist, Jewish, liberal, it is appropriate to add the title: ''Green''.  

The State of Israel sees the image of Israel as the land of the Bible a central component of its identity and religious tourism is one of the most important parts of its economy. 

Idyllic appearance is probably the most important criterion according by which Israel is examined by the peoples of the world. Likud party should adopt the identity ''Green". This identity is also the key for economic prosperity of Israel, as it encompasses a great many technological horizons, including the use of alternative energy, advanced public transport, urban and regional planning and more. In many areas the state leads.

The country is one geographical unit of Environment and Planning from the Mediterranean to the Jordan river. The insight of the entire land of Israel as one environmental unit must be reflected in all government programs.

But the desolate land of the Zionist pioneers is now largely covered by concrete and asphalt. The Palestinian residents in the country between the Mediterranean and the Jordan river are competing in doing so, creating a clash between two masses of territoriality, which has become a form of terrorism. Already we are experiencing here ecological collapse, it is still slow but could accelerate as a snowball. Nations may prefer the land of Israel as the object of their messianic longings. However, manicured environment generates respect from others, and conditions for peace can be realized for granted in a country which is working on the development of the natural landscape.

The chaos of the improper regional planning in Israel expanded to the municipal and metropolitan environment and has become embedded in Haifa metropolitan area in particular. In this metropolis, with the capital city of Haifa, there are dozens of smaller settlements, most of which are located in the bay and its surrounding. The total population is close to one million. But there is almost no coordination between communities, coordination that could be realized within the framework of consolidating authorities.

Many citizens of Haifa metropolitan area, a region with a rich history and educated population, seen as a subject of central importance for their future and the entire State of Israel, the gradual and full termination of petrochemical plants and their facilities in Haifa Bay, which dominate the area and are very dangerous in terms of health, safety, and for socio- Economic reasons.

From a health perspective, Haifa metropolitan area is suffering from cancer in a percentage which is much higher than the average of Israel. Ministry of Health thinks of declaring  it a danger to health zone. Citizens, who have been here for decades, should not be suprised of this statement, especially since many years will pass before the declaration will be implemented in practice. Citizens already know this first hand, because their hospital beds are full of sick children, a fact which was confirmed statistically. The full list of the health damage that  pollution causes is very long and has far-reaching implications. It includes brain shrinkage.

The safety-security reason for eliminating the  petrochemicals facilities is clear: Haifa bay is a constant target for instant rocket attacks. Missiles may blow up the entire region and lead easily to tens of thousands of victims.

Economically, there is a big problem throughout Israel of homes shortage and another problem in Haifa metropolitan area of a shortage of jobs, which creates negative emigration from the region. Residential areas should be established, together with advanced industrial zones in this metropolis. The petrochemical plants are on expensive land, near the beach and the river, with spectacular views, in the heart of population centers. The taxes the factories pay are very low, compared to that from a population of millions of people, who can live and work on the same land.

Mayor Yona Yahav and his coalition are supporting the development of toxic petrochemical enterprises and their facilities, together with the establishment of a new monster port. His past mistakes caused deterioration in the health and socio-economic situation. Haifa metropolitan area is already in a decaying course.

Environmental activists of Haifa metropolitan area are monitoring available polluion statistics of the petrochemical facilities. They professionally oppose the dangers of increasing their capacity. 

Their efforts are combined with those of urban planning experts against the government programs for new and unnecessary port with a huge yards, on reclaimed land from the sea.

These days, opposition activists following the official programs focus on:

Tripling the production capacity of the Bazan refineries.

Construction of a huge fuel tanks farm nearby.

Huge containers docks and yards, togehther with petroleum dock, on reclaimed area from the sea which will serve as a "new port".

Haifa new master plan which is in favor of all of the above.

Their opposition proceedings are against government programs that are in the final stages of formal approval. If these programs are approved it will seal the future of Haifa and Israel. These programs will make Haifa metropolitan area a Third World place:

Most fuel production will be for export.

Most of the containers at the ugly giant yards will be staying for a short transit time between large to small ships.

The pollution will increase greatly as a result of increased production.

Safety and security risks will grow because of the explosive potential of dense installations.

Haifa's green activists were born into this situation, of living near petrochemical plants and a port which block the sea. They gradually gather new insights and conclusions in a learning process. They hope that the world will help them assess the situation, so we all will enjoy the true gifts that the land can offer.

Even if you solve the problem of air pollution there will still be the problem of the economic absurdity of the existence of petrochemical plants in Haifa metropolitan area. 

This absurdity can be illustrated using the following question: How would Tel Aviv metropolis developed if the international airport will be replaced with petrochemical plants? Will it enable economic growth in the region, or it would become desolate and deserted? Petrochemical plants in Haifa bay provide employment for thousands of workers, compared with the hundreds of thousands who make a living, directly and indirectly, from the airport. This is an ongoing farce. These plants, spread out all around the bay and are its dominant view, are dinosaurs which destroy everything good.

The economic future of Haifa metropolitan area should be based on advanced clean industries, fruit of its academic institutions, and utilization of the unique natural features of Mount Carmel and Haifa bay, with a beach of a potential for 30 kilometers of riviera, close to major religious sites and more. 

But Haifa may be left without attention, as a metropolitan with no airport, no beaches, no jobs and no homes. 

Haifa Bay is enjoying beautiful weather, sunny, clear and calm for most of the year. It is likely to attract many tourists to its the beautiful and historic sites. Tourists currently only pass through on their way to other places. The bay is originally one of the most beautiful areas in Israel. With the beach, mountain and river, it is a spectacular landscape. Combined with its geographic advantages for deep ports and transportation routes it  could become a global center such as Singapore, or at least Beirut our nearby competitor. Instead, in its heart are the polluting factories, which have accumulated huge debts to the authorities and are with unclear future in light of changing market conditions.

Singapore has limited land resources, and its leaders were wise enough to realize that for developing its human resources they need to develop the place properly. In addition, they realized that they must ensure the development of an international airport. Today, airport revenues make up about 20% income of the city-state, which operates the largest seaport in the world. Singapore is the role model for the independent Chinese growth regions, which have become the economic powerhouse of the world. Haifa metropolitan area is in need of a major international airport, surrounded by high-tech business. The contribution of an airport city here will be much more greater than to Singapore, thanks to the aviation industry we have developed.

There is no practical way for the establishment of a civil airport at Ramat-David. Reasons for that fall into several categories:

Strategically, the Air Force and the defense establishment will not give it up now, with the terrible threats from north and east.

There are no geographic conditions for passenger aircraft operations, due to the need to lower and rise quickly over mountain ranges, also with fog for several hours during the day.

Economically, there is no infrastructure for an international civilian airport in this agricultural area which is relatively far from the major population centers of the coastal plain.

International airport in Ramat-David will destroy the most beautiful valley of the country, the Jezreel Valley, which is one of our last beautiful landscapes.

Haifa Bay can have two runways for Boeing 747 on the same area now designed for the new container yards. Undoubtedly, long runway into the sea in Haifa will be high on the list of the world's most spectacular landing sites and will help greatly to make the entire metropolis a tourism site. On the side of the long runway can be port docks, and doing so will increase the size of the planned port. Although the combined runway/breakwater will be very long, the extension of the breakwater against it, on the western side of the bay, will enclose economically a very large area of safe water.

Plan to extend the runway into the sea in current Haifa airport, which was build by the British and was never changed, were prepared by experts chaired by minister Ephraim Sneh back in 1995. They were approved by the highest committy, but was opposed at the last minute. This may be because the plan was not supported by equivalent gradual termination of the petrochemical plants which are close to the airfield. This program is currently still supported by the city's senior economic officials, who envision the international airport realized through several beats.

The plants, along with the unnecessary port, must move to third world countries, on purely economic criteria, as many other industries immigrated to these countries, where there is huge demand for them, and the labor and land costs are lower. An example of a manufacturing industry which was successfully transferred from Israel is the textile industry.

An area suitable for the transfer of the petrochemical plants is the coast of the East African countries that have friendly relations with Israel, such as Ethiopia and Kenya. These countries are also near the oil resources of the Persian Gulf. Oil refineries there will be able to interact with non-political connection with the State of Israel and enjoy all the associated economic benefits.

It is possible that the gas reserves discovered off the coast of Haifa has also a lot of oil. Noble Energy wants to build the gas and oil tankers terminal near the rig and we should support the company in this process. The gas and oil for local use, piped to Israel, could be processed in small facilities, to be constructed away from inhabited areas, if it is decided that Israel must be independent about it. But it is also possible to completely give up the production of refined fuels and settle for the establishment of large reservoirs to serve the economy in times of emergency.

The world is in transition for clean energy, particularly solar energy. Within a decade solar energy will be a major part of mankind's energy resources, so there is no financial reason to invest in oil infrastructure at the present. Transfering from Haifa bay of the petrochemical enterprises should be integrated with operations of increasing the use of clean energy in Israel.

The list of Israeli government ministers of 2015 consists of a large number of senior ministers formerly from Haifa metropolitan area. In addition, there are several ministers closely associated with the issues of regional development and the problems of Haifa metropolitan area. They can act to save the metropolis. This may be a unique opportunity.

Government ministers with connection to Haifa metropolitan area are:

Prime Minister Benjamin Netanyahu - originally from Jerusalem, but his wife Sara is from Tivon, which is located near the petrochemical plants. They live in Caesarea, near the largest power station of Israel and also close to Haifa.

Defense Minister Moshe Ya'alon - Ya'alon was born and raised in Haifa and in Haifa University he graduated in political science.

Education Minister Naftali Bennett - Bennett was born and grew up in Haifa. 

Moshe Kachalon, Minister of Finance - was a military man in its suburbs. After his military career he opened a small business in downtown Haifa, was a resident of Haifa and a member of the Likud branch in the city, where his political career began.

Yuval Steinitz, Minister of Energy and Infrastructure - studied and lectured at the University of Haifa and was a city resident and member of the Likud branch for many years.

Interior Minister Silvan Shalom - expert in regional development, deputy prime minister, a cabinet member, and minister of regional development and rehabilitation. A public figure like Shalom should take charge in Haifa Bay.

Yoav Galant, Minister of Housing and Construction - served as a fighter and commander of Squadron 13, headquartered near Haifa. He holds a BA with honors in Economics and Business Administration from the University of Haifa. Lives in Amikam, near Zichron Yaakov.

Miri Regev,  culture and sports  minister -  support green organizations of Haifa metropolitan area.

Benny Begin, a minister without portfolio - an expert on the subject of illegal settelments. 

The spectacular amphitheater view of Haifa bay creates within the viewers a constant stimulation for action, often too hasty and expressed in actions and programs unreasonable, especially given the antagonism of the petrochemical plants and ugly container yards. The combination of maritime and airial transport systems, described above, is an elegant solution to that issue.

There is great importance to the gradual evacuation of the oil refineries from their current location. They are exactly in the rear of the airport, in the orbit path which is essential for large passenger aircraft. The refineries area should become entirely part of the Kishon Park, a park which will be designed as a combination of a metropolis green park and airplanes orbit path.

Creation of Haifa International Airport should be combined with the gradual evacuation of the plants and petrochemical installations in the bay. In this way land reserves will be created for residential buildings and advanced business and industry. Many jobs will be created for the airport's needs. The slogan: ''No to Refineries - Yes to Airport'', should be made a reality.