I suppose not having to go to war to often (if ever, who does Australia go to war with?) kind of helps the economy as well. What percentage of the GDP goes to defense in Australia compared to Israel? I can only guess, but I would fathom like comparing night and day.
That being said, like the Australian lawyer you mentioned above, I have no regrets about moving to Israel. True, I could live a nice religious Jewish life in America, but NOTHING beats being part of the first Jewish state in about 2,000 years (for me, at least)