This report gives a brief overview of the Israeli-Palestinian conflict and examines recent developments, diplomatic and otherwise. The report also states two options for reaching a two-state solution and several alternative proposals for dealing with the conflict.

This report provides a historical overview of Israel and it discusses most recent development, politics, economy and relations with United States.

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Israeli-U.S. relations are an important factor in U.S. policy in the Middle East, and Congress has placed considerable emphasis on the maintenance of a close and supportive relationship. The main vehicle for expressing support for Israel has been foreign aid; Israel currently receives about $3 billion per year in economic and military grants, refugee settlement assistance, and other aid. Congress has monitored aid closely along with other issues in bilateral relations, and its concerns have affected Administration’s policies.