What do you mean by Jews continue to lose in assimilating to US? Jews have thrived in the US more so than any other country. We have Jewish leaders and celebrities with tremendous sway and power (Rahm Emanuel, Larry King, Jon Stewart, Henry Kissinger... so many...) True Israel was founded as a Jewish state but also as a democratic one with equal rights for all citizens. This means that Arabs have a right to politically oppose Zionism or any other ideology if they choose to. This loyalty oath by definition outlaws certain types of political thought and expression. This erodes the democratic values in Israel.
Monitor: Clashes near Damascus despite truce there, five killed in Aleppo (Reuters)
from the article: Livni: Loyalty oath amendment is 'politics at its worst'