The effort comes as Israel readies to open up the aviation market to enhanced competition via the Open Skies agreement with the European Union.

With a dramatic come-from-behind win in the semifinals, the squad advances further than it ever had in an international baseball tournament, but fails to best tournament favorite German Academy.

Liberalizing aviation will certainly bring more tourists, but don't assume the national carrier will be around to enjoy it.

As Israel's biggest airline and a security provider for its competitors, El Al will benefit the most from the boost in state security funding.

With the Open Skies agreement, Israel's government has shown it is willing to take on big economic interests for the public good; now the labor federation chairman will have to decide whose side he is on.

Increasing value added tax, already considered high, is the typical response of Finance Ministry officials, who are responsible for the deficit in the first place.

Besides having most of their security costs paid by the state, Israeli airlines exact a large tax from the Israeli public and foreign visitors in the form of non-competitive ticket prices.

State agreed to subsidize 97.5 percent of El Al's security costs; Histadrut labor federation: Treasury agreed to all our demands.

With unions set to ground flights to and from Israel, the country's flagship carrier must plan for streamlining while hoping a new investor and banks stay on board.

The Open Skies reform of the airline industry is Israel's latest attempt to increase competition and ensure prosperity - next up should be the ports.