Isreal is utterly dependent on American aid and American support is dwindling.

Jewish people are not the majority in Israel/Palestine. No government may long stand without the consent of the majority of the governed.

The B.D.S. movement. Israel simply cannot afford to become an international pariah.

A large percentage of Israel's Jewish population will leave when Israel is no longer able to support a First-World standard of living.

Hubris. The Israeli government is unwilling to make the necessary concessions and reforms.