Arian
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We didn't get weaker because of those arms supplies, but because of Khomeini's stubbornness. He could ended the war much earlier. But Israel, the US and Turkey indeed benefited from the war between Iran and Iraq, the two most powerful states of the Middle-East. Especially Turkey benefited a lot (economically) from this war.
I didn't say we got weaker for those arms supplied by them, what I said was that it was in their interest to supply those arms to us to prolong the bloody war. Also, the USA and Israel lobbied to sell more arms to Iraq to completely neutralize the advantage of those arms that we needed them.
Everyone benefited from the war. Especially the Persian Gulf Arabs. Kuwait and KSA decided to increase their oil outputs to keep the oil prices low which went against the interest of Iraq who eyed oil revenues for recovery. That's why Iraq refused to pay back the +2 Billion US dollars that Kuwait had given Iraq and that happened to be the initiation of Iraq's hostility toward Kuwait and hence the Persian Gulf war. Also, it separated Iraq from the lovers relationship that they had with the USA because of the Iraq-Iran war. That's what I meant. Iraq and Iran got crushed in the war, after the war Iraq became the poorest country of the world because of heavy loans that she had to pay back. Hence, one of the most aggressive and dangerous enemies of Israel, the Saddam Iraq, got strongly weakened. Iran, on the other hand, lost most of its sensitive oil/gasoline infrastructure. Our oil production output fell down to less than 2.5 million barrels per day from ~4.5 million barrels per day and up to this day we're still struggling to reach that peak. Iran, as one of the main exporters of gasoline and chemical productions before the revolution, became the importer of gasoline. And many many other things.
We can't be friends with Israel, the Shah had figured that out in his last years, but it was too late for that. The Shah wanted to become independent from the dominance of the USA, but it was too late. The Shah emerged as a rising star in global decisions from a puppet who had a weak mentality and a very shaky character, but he got overthrown when he had started to realize our problems. A very sad story if you ask me.
Also, I do agree with Era about Khomeini's decision to continue the war. I personally think of Khomeini as a very wise commander for the war. Saddam didn't want to stop the war because he had changed his mind, he wanted to stop Iran from incursion and wanted to reinforce. Khomeini had a natural talent to be a political leader in my opinion, even if we disagree with many of his ideas and decisions.