My Promised Land: The Triumph and Tragedy of Israel
by Avi Shavit.
This is Israel, written by a liberal Israeli who has access to both the rich and famous and the poor and dispossessed. It is a nuanced story, way beyond the crap put out by the Jewish establishment and the crap put out by the Arab fellow-travellers.
This includes both the critical history and the author's view of the future. This is subtle, sometimes contradictory but wonderful complex stuff and yet very readable.
By the time you finish this book you will have a much greater understanding of the situation in Israel than you could get from anywhere else.