Prime Minister Binyamin Netanyahu apparently believes the greatest threat the country now faces is an escalated European trade war. He's wrong. The greatest threat we are now facing is a national leadership that cannot get its arms around changing strategic realities. Over the weekend, Yediot Aharonot reported that during Secretary of State John Kerry's seven-hour meeting in Rome last week with Netanyahu, Kerry warned that the price for walking away from the talks with the PLO will be European economic strangulation of Israel. According to the newspaper, "[T]he secretary of state told the prime minister that he heard from his...