What made Israel distinctive as God's people?
Israel was distinctive because God separated Abraham from humanity and promised a unique nation, and from the promise onward Israel was continually taught they were a special, called-out, separated, covenant people whose promises were earthly, making them God's earthly people rather than a heavenly people.
Les explains that as soon as Abraham was called out of Ur of the Chaldee, God separated him from the mainstream of humanity and promised that out of that one man would come a distinctive race and nation of people, the nation of Israel. What made them distinctive was that from the very onset of the promise to Abraham until they were finally dispersed after rejecting their king, Israel had it constantly drummed into their mindset that they were a special, called-out, separated, covenant people of God. All their promises were earthly, so they are referred to as God's earthly people. Even in their resurrected state as believers, they will not be a heavenly people but an earthly people; their promises were earthly, which explains why many of them had tremendous wealth, such as Abraham.