In theory, terrorism undermines the state by poisoning the everyday economic and social interactions of its citizens. Palestinian terrorism does not particulary target Israeli Arabs, but it injures them all the same. Directly, when it kills them on city streets and buses. Indirectly, when it makes them into objects of suspicion. One also has to observe, that Israeli Arab political leadership has been vocally pro-Palestinian through sixty years of conflict. Pro-Palestinian equals anti-Israeli, because war does not allow for shades of grey.
One student killed, three wounded at Arizona campus during fight (a)
from the article: The missing Arab issue