Why do Israelis dislike fantasy? Put so bluntly, the question appears frivolous. But in fact, it goes to the deepest sources of Israeli historical identity and literary tradition. Uniquely among developed nations, Israel's origin is in a utopian novel, Theodor Herzl's Altneuland (1902), which predicted the future Jewish state. Jewish writing in the Diaspora has always tended toward the fantastic, the mystical, and the magical. And yet, from its very...