Israel is impoverished, and its economy emerges from severe austerity only after 1952 when the country begins to obtain substantial international aid, including grants from Jewish charities, revenue from the sale of bonds, and U.S. government assistance.

Beginning in 1953, Ben-Gurion secures economic aid from West Germany, a highly controversial act that is seen by many as reparations for the destruction of European Jewry.

This action brings about violent protests led by members of Begin's Herut Party, who feel that any such aid will be an abomination.

Ben-Gurion, exhausted by political struggles, tenders his resignation in November 1953, and the less militaristic Sharett takes over as prime minister.