There never was a state, at least not in the modern sense (that concept was established with the Treaty of Westphelia) and those people are long gone, conversions are a farce when pitted with ethnicity and land. So why even create or sustain such a state? Israel and the Jews stand out like a sore thumb in the region.
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UN envoy: Iraq's political crisis helps extremists (AP)
from the article: Israel, PA agree to strive for deal by end of 2008