Truth is controversial to Palestinian leaders

The Ticket:
Mitt Romney ended his trip to Israel on a controversial note, angering Palestinian officials by suggesting Israelis have been more economically successful because of their culture.
"As you come here and you see the GDP per capita, for instance, in Israel which is about $21,000 dollars, and compare that with the GDP per capita just across the areas managed by the Palestinian Authority, which is more like $10,000 per capita, you notice such a dramatically stark difference in economic vitality," Romney told a group of Jewish donors at a Jerusalem fundraiser that netted more than $1 million for his campaign.
The Republican candidate told supporters he began noting "enormous disparities" between neighboring countries during his time in the business world and cited a 1998 book, "The Wealth and Poverty of Nations" by David Landes, which studied why some countries did better than others.
"He says if you could learn anything from the economic history of the world it's this: Culture makes all the difference," Romney told supporters. "And as I come here, and I look out over this city and consider the accomplishments of the people of this nation, I recognize the power of at least culture and a few other things."
Romney's comments didn't sit well with key Palestinian leaders, including Saeb Erekat, a senior aide to Palestinian President Mahmoud Abbas, who told the Associated Press that Romney's comment was a "racist statement."
"This man doesn't realize that the Palestinian economy cannot reach its potential because there is an Israeli occupation," Erekat told AP. "It seems to me this man (Romney) lacks information, knowledge, vision and understanding of this region and its people… He also lacks knowledge about the Israelis themselves. I have not heard any Israeli official speak about cultural superiority."
... 
Actually Erekat is the one suggesting a racial disparity.  Culture is something that cut across racial boundaries.   The Scots did not prosper until they adopted the English culture.  The original prosperity in England came from the adoption of the Roman culture and when that culture faded so did the prosperity.  The Palestinians have created a beggar culture where the leaders accumulate wealth through corruption, rather than industry.  Capitalism is the culture that can lead to prosperity.

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