In 2002 the Arab League endorsed a Saudi proposal that promised Israel normal relations with Arab countries after a two-state solution: by ending its conflict with the Palestinians, Israel could end all its regional conflicts. The Arab Peace Initiative was meant to be a powerful inducement. Israel might be more willing to take its boot off the Palestinians if it felt that other threats would then dissipate. However, A two-state solution would be costly. Even before the war, the Palestinians would have expected help to rehabilitate Gaza; the bill will be much higher now. At the failed Camp David summit in 2000 negotiators discussed a $30bn fund to compensate Palestinian refugees for lost property. Do you think that this will be achieved ?
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