Shot anyone trying to leave but plenty of Palestinians worked in Israel… Does not compute. Even if that were true, when your neighbouring country indoctrinates it’s citizens to destroy the jews from an early age, you can’t really trust any civilian.
Open air prison - then every country is an open air prison if you can’t freely leave to neighbouring countries - It’s called borders.
Dropped bombs? You might be confusing Israel with Gaza. Israel is the one that had to install an “iron dome” missile defense system due to random bombing from Gaza.