I think Gideon compares to the ideal liberal, secular state. The reality is that government power in the hands of religious institutions is common throughout the world, including western Europe. Churches often receive a percentage of taxes. The ability of religious institutions to affect laws exists everywhere.
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U.S., allies conduct 22 strikes against ISIS targets in Iraq, Syria (Reuters)
from the article: Gideon Levy / Let's face the facts, Israel is a semi-theocracy