Most of Israel's aid, according to the 2012 US Congressional Research Service report by Middle Eastern Affairs Specialist Jeremy M. Sharp, was in the form of military aid.
Of course, that will work wonders to help the Palestinians turn away from fighting for ethnic interests and land claims. Isn't that the whole wind in the sails of the multiculturalist movement, the idea that we can forget our differences and past discrepancies if, at the end of the day, there is money to be made and economies are doing fine? Well, Palestine could use a little help:
On the other hand:
“Since the October War in 1973, Washington has provided Israel with a level of support dwarfing the amounts provided to any other state. It has been the largest annual recipient of direct U.S. economic and military assistance since 1976 and the largest total recipient since World War ll. Total direct U.S. aid to Israel amounts to well over $140 billion in 2003 dollars. Israel receives about $3 billion in direct foreign assistance each year, which is roughly one-fifth of America's entire foreign aid budget. In per capita terms, the United States gives each Israeli a direct subsidy worth about $500 per year. This largesse is especially striking when one realizes that Israel is now a wealthy industrial state with a per capita income roughly equal to South Korea or Spain.”
- John J. Mearsheimer and Stephen M. Walt
"The Israel Lobby and U.S. Foreign Policy"