The Arabs rejected our very existence long before the occupation or even the state of Israel existed. The idea that some policy on Israel's part will lead to their acceptance is as absurd as claiming that maybe Hitler would have treated us a little better if we had shown a little more enthusiasm in the Munich bear halls. The fact is that angering Arabs is the ultimate act of no consequence. They will want us all dead no matter what we do. That said, it's time to stop playing into their hands. When Arafat and Ahmedenijad talk about wiping out Israel, they are not talking about bombs. They are talking about Israel's demographic death when Jews become a minority in their own country. Israel can easily deal with an attack from the army of a Palestinian state. It can't deal with the demand that all the people it rules be allowed to vote in its elections.
Israeli PM to Palestinian President Abbas: We must fight terror together (Haaretz)
from the article: The fallacy of Netanyahu's worldview