Sitting on the barren, marshy frontiers of Israel, the typical kibbutz for years was rarely more than a commune of spartan farmers. But as Israel's economy has surged, the kibbutzim are becoming burgeoning industrial complexes and tourist attractions. Ferryboats, their decks crowded with sightseers, stand out among the austere fishermen on the Sea of Galilee. New hotels, some with seaside restaurants, are rising where banana trees once flourished in the subtropical sun. And daily from kibbutz factories flows a stream of products that range from machine tools and stainless steel kitchen equipment to shipping containers.
This year 170 of the...
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