Yeah, cause living in the heartland of the peoples that just tried to remove your race from the planet sounds like a great plan! Come on, even in hindsight this "better" idea sounds stupid.
Yeah, what a preposterous idea! Those jews that stayed behind in Germany were sooooo crazy.
Well, you have hindsight. I doubt in 1948 everyone thought that Germany was stable and de-nazified. According to Wiki only 10-15k Jews were in Germany at the end of WW2.
http://en.wikipedia.org/wiki/German_Jews#Jews_in_Germany_from_1945_to_the_reunification