Israeli (or Zionist supporters) regularly call Palestinians 'Pals" or 'so called Pals' or invented people etc. Yes, Israel is a recognised state but no other state recognises it as the 'Jewish State of Israel'. I agree that mindlessly insulting people is not conducive to problem solving but, given Israel's history of peace fakery talks whilst creating facts on the ground, I rather suspect that Israel will be no more likely to negotiate with serious intent whether it is pushed into a corner or feted as it once as 'plucky little Israel'.
U.S. to deliver 8 advanced F-16s to Egypt on July 30-31, U.S. embassy in Cairo says (Reuters)
from the article: Dressing Anne Frank in Palestinian garb to boycott Israel