ABSTRACT
This chapter outlines the bounds of a realistic security future that is likely to present itself to Israel in the aftermath of a peace agreement. It shows possibilities of a new security environment for Israel, and its implications for Israeli defence programmes, expenditures and industries. Despite the Hebron massacre, Israel had a peace agreement with two of its immediate neighbours Jordan and Syria, as well as understanding Syria regarding the status of Lebanon and a consequent agreement with that country, and a workable arrangement with a Palestinian entity. Unlike counterparts in Syria, the Iraqi political, social and economic elites have no Golan to recover, that is, no territorial incentive to come to terms with Israel in the first place, or to accept Israels peace with other states. Moreover, the basic economic substructure, after the World War II, enabled France and Germany to overcome their centuries-old hatreds is unlikely to be duplicated in the economic relations between Syria and Israel.
