Sephardim would have intermarried also much more. I have made this point many times as well. Also what you call frei, in many ways the frei’ in EY do more Mitzvos than others. Many keep kosher most of the time, observe some Yomim TOvim, and know Loshon Kodesh. here @ work for example we were short 1 person for Mincha minyan the other day, so I dug someone out that I knew was Jewish but he told me he can’t read Hebrew. This would not have beent the case there. At the least they could be told what page and could daven.
I beleive that those so opposed to Zionism is a power struggle, they would rather have the power.
Also the Ruchnius is much stronger for the average frum person there, here in Golus the Gashmius prevails in all sectors.