The issue in Israel is the fight for land between the Palestinians and the Israelis. The main factor that triggers the conflict is what is called "the occupation". And it grew out of the Jewish longing for a safe home. .
Around 400,000 Israeli settlers sit on land occupied by the Israeli military during the six day war in 1967. This small percent of the population have the best of the land and very important water resources. For example in Gaza around 7000 settlers control 20% of the land. Leaving over a million crowded in the other 80%. The Israelis who believe the biblical land belongs to them have not figured out what to do with the people who already live there. They do not want them to be citizens and live among them, as they want a "Jewish" Israel. And the Palestinians want the Israelis gone and their own state once again.
In protection of their settlements the Israelis have military roadblocks, army bases, border controls, 300 miles of Israeli only by-pass roads (paid by the US). These separate Palestinian territory into many small settlements, where you can barely move from any major Palestinian centre without having to pass through an Israeli checkpoint.
It as now become a struggle between wealth and poverty with the average income in Israel about $17000, but with the Palestinians living in Gaza and the West Bank, less than 1700. .
There are now 170 Israeli settlements on Palestinian land with 213,672 settlers. They represent only 10% of the population on the West Bank but use about 37% of the water, leaving 63% to the 1.9 Palestinians. The current unemployment rate for Israelis is 10.2% whereas in Palestine the rate is 60%. And about 62% of the Palestinian Arab workers are in manual labour compared with 19% of Jewish workers. On the West Bank Israeli settlers pay an average of three times less for domestic consumption than Palestinians. It is these types of social conditions that cause conflict and extremist edges.