They show restraint because they know good pr keeps the foreign investment flowing like a river. It’s so disingenuous to view this conflict in a vacuum with no larger geopolitical aspects to consider.
Sure they could act like Russia is in Ukraine but that’s not how you get your genocide while the world shrugs their shoulders. Don’t be so painfully naive.
Also it’s interesting that your recollection of events starts AFTER the Naqba where Israeli settlers drove Palestinians from their home. Everyone acting like there’s only one group driving hostilities always has an obnoxiously one sided understanding of the provocations that happened.
And as a final note, Israel is held to a higher standard because it hasn’t been rendered destitute by a stronger power. It’s the imbalance of power that makes the position popular. Just like cops should be held to a higher standard than citizens, Supreme Court judges over political pundits, and soldiers over non combatants. The stronger force has the most responsibility to go for peace because their power grants them the most ability to do so.