More than a quarter of a century after Yitzhak Rabin and Yasser Arafat shook hands on the White House lawn, Israel has managed to turn its occupation of Palestinian territory from a burden into an asset. What was for so long a liability – the flagrant violation of international law – has now become a valued commodity. Understanding this development is key to explaining why the Israelis are making peace with two distant Gulf states but not their closest neighbors, the Palestinians – without whom there can be no real peace.
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