Ahem. This IS a global economy. You think our boycott of French products after the UN vote didn't affect THEIR economy?
Certainly the muslim boycott against all things Danish is having a big impact.
Israel's economy seems to be doing just fine-even its tourist industry, believe it or not-and I don't think the Arab world is beating down its door to conduct trade deals, let alone asking to be given rights to some of its most vital national security assets.