I quite agree with your excellent analysis. I have been a close observer of and participant in the conflict for close on 33 years. Looking at today's reality the conclusion must be that the two state solution is disappearing over the horizon. The last chance is/was as Tosefta suggested in his post #66. And even if Israel was willing to do business with a Fateh/Hamas unity government the removal of the large colonies would be an almost impossible undertaking. You are right that in this small geographical area Palestinians and Israeli Jews are joined together like Siamese twins and separating them is becoming impossible. Palestinian and Jewish communities live next to each other, but in a relationship of separateness and inequality. The colonizer rules and the colonisation process continues relentlessly. I believe that the Palestinian struggle - in the face of the current reality - will gradually become refocussed on gaining equal citizenship in one state for all.
UN: Gaza could be 'uninhabitable' by 2020 if trends continue (AP)
from the article: PlayStation Palestine