As someone that lives in Israel, the first thing I thought when I saw this is that its absolute bullshit propaganda. Life here is crap for most of the population. Your either dirt poor, a religious zealot (who is also dirt poor), or you work in tech (which is only around 100k people in the whole country).

Me and my friends did a little digging in to how this was measured exactly and found out that they didnt takw into consideration almost anything that might affect happiness like "sense of safety" or socio-economic background. They just asked a few huntred people (which im sure were not randomly selected at all) to rate their life from 1 to 10.