Israeli troops blew up the vehicles of the attackers, after they drove into Israel.
Egypt has responded by shutting down their border crossing with Gaza.
Both Egypt and Gaza have sent extra security forces to the border.
The attack occurred near the congruence of the Egyptian, Israeli, and Gaza borders.
Egypt and Israel have blamed the attack on Islamist militants.
President Morsi, of Egypt, said that the "cowardly" attack will not go "without a response" and that "those who carried out this crime will pay dearly".
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