Simple. Where as Countries in the third world produce clothes, and shoes for the West being paid starvation wages. Israel produces, develops High Tech bits & pieces for the big companies who's names we all know and hate. Because the clever Israelis are paid a hell of a lot less than their counterparts in the countries from where the companies originate. Even the Israeli start up companies inventions such as the Kinect for Xbox 360 what Microsoft paid is a lot of money to the guys who made it. It's peanuts what it would have cost Microsoft to do it back in Seattle. Israel is the Bangladesh of the High Tech. The people live in overcrowded high rise buildings, or in 1950's slums. Unlike those in Europe who live in houses. Yes we are a poor country!
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Preliminary report: Shooting attack in East Jerusalem's Damascus Gate (Haaretz)