Anchor Aaron Schachter talks to Steven Cook, Senior Fellow at the Council on Foreign Relations, about what is at stake in Israel's neighboring countries, in light of the new conflict between Israel and Hamas.
Palestine's economy suffers under the weight of the long-running Israeli occupation. And while it's resumed growth, that growth is tied to foreign aid. Economists say to achieve true stability, it needs a vibrant private sector economy -- and that requires a peace agreement with Israel.
At first glance, the Palestinian economy appears to be booming: People are out on the streets, and small shops are packed. But the territory is under Israeli military control, and heavily dependent upon international aid.
Egypt this week moved to block access to the country from the Gaza Strip in the wake of an assault on an Egyptian border station over the weekend. The attackers attempted to flee into Israel but were halted by the Israeli Air Force.
Gaza Strip residents have struggled to get fuel for their vehicles because of a variety of factors that have led to a severe shortage of gasoline and diesel. Perhaps worse, though, the only power plant in Gaza runs on diesel so a fuel shortage has meant 18 hours a day without electricity.
Israel last week launched an attack in Gaza to kill the leaders of some of the local rebel cells. In retaliation, Gaza-based terrorists have launched a series of attacks on Israel. But Monday evening, Egyptian diplomats said they'd reached a cease fire deal to be implemented over night.