'Knesset' is the parliament of which country?

The correct answer is Option 1 - Israel

Israel follows a proportional representation system of election. Elections to the legislature (Knesset) take place every four years. Every party declares a list of its candidates, but voters vote for the party and not for the candidates. A party gets seats in the legislature in proportion to the votes polled by it. This allows even smaller parties with a very small support base to get representation in the legislature. (A party must get a minimum of 3.25% votes to be eligible to get seats in the legislature.) This often leads to a multi-party coalition government.