Also, do you think these ultra-Orthodox groups would not be able to adapt to participation in the regular economy if their sources of government support dried up? I have the impression that they would be able to adapt very well, and are presently just taking advantage of their exceptionally favorable position to take advantage of government support. However, I'm sure you know more about them than I do, so I'd be curious to hear what you think.
The short answer to this is I don't know. Over the last hundred years the ultra-orthodox have adopted a set of attitudes that has little in the way of historical precursors. Those attitudes include 1) a much more negative attitude towards secular schooling than existed previously and 2) an attitude that any line of work other than constant study of religious texts is bad 3) a strong aversion to interacting with people outside their own groups, even for business purposes. This makes it very difficult for them to do much other than this sort of rent-seeking behavior. However, in the other direction the more moderate end of the charedim have had some success getting jobs. A fair number are now doing work in IT or some actuarial jobs that minimize interaction with other people, and there are some lawyers as well. They actually have some advantages in that regard, in that the constant study of classical Jewish legal texts has trained their minds to think precisely given specific sets of constraints. But that's the moderate end of the ultra-Orthodox and you won't find almost any of them in a place like Kiryas Joel. Many people in places like Kiryas Joel consider such people to be borderline heretics.
Note that I'm glossing over here some complicating issues. The Kiryas Joel community is chassidic which is a proper subset, not a synomym, for ultra-orthodox. The specific group that controls Kiryas Joel and makes up the majority of the population are the Satmar chassidim, which are seen by many as more reactionary and conservative than most of the other chassidic sects or any non-chassidic charedi group. Moreover, the Satmars have had a complicated schism in the last few years which I don't understand in detail but my impression is that the less moderate faction is the one which ended up with control over Kiryas Joel, while the more moderate Satmars are in Williamsburg and Borough Park (which while largely Orthodox are both much more diverse areas among the Orthodox population than Kiryat Joel, and have some non-Orthodox population).
Thanks for the answer! Looking at your comment and googling around a bit, it seems like I may have some significant misconceptions about various groups within the contemporary Judaism and their relations between each other and the wider world, especially on the Orthodox end of the spectrum. (For example, I just realized that my imagined Venn diagram of several of the groups you've mentioned was flawed.) Do you maybe know of some good book that has a comprehensive explanation of these divisions, preferably with reference to the historical context of their development, and also their ancestral geographic origins?
I was browsing my RSS feed, as one does, and came across a New York Times article, "A Village With the Numbers, Not the Image, of the Poorest Place", about the Satmar Hasidic Jews of Kiryas Joel (NY).
Their interest lies in their extraordinarily high birthrate & population growth, and their poverty - which are connected. From the article:
From Wikipedia:
Robin Hanson has argued that uploaded/emulated minds will establish a new Malthusian/Darwinian equilibrium in "IF UPLOADS COME FIRST: The crack of a future dawn" - an equilibrium in comparison to which our own economy will look like a delusive dreamtime of impossibly unfit and libertine behavior. The demographic transition will not last forever. But despite our own distaste for countless lives living at near-subsistence rather than our own extreme per-capita wealth (see the Repugnant Conclusion), those many lives will be happy ones (even amidst disaster).
So. Are the inhabitants of Kiryas Joel unhappy?