In 1917 the Balfour Declaration didn't even propose a Jewish state just a Jewish homeland which would pretty much have been an arab state with a Jewish minority and the zionists loved that idea and it wan't till the late 20s after fighting intensified between Jews and arabs that the zionist decided nothing short of a Jewish state would be acceptable. In 1947 the UN proposed partition into Jewish state and an arab one. The arab state would have encompassed 45% of mandate Palestine + Jaffa and of course arabs on Israel's side of the border would be made citizens of Israel and Israel agreed to all that. Unfortunatly for them in 1948 the arabs chose war rather than peace and Israel'e territory expanded to 78% of mandate Palestine + Jaffa + West Jerusaem ( the green line ) and the arabs got nothing other than about 600,000 and most never seeing a Jewish soldier but they left out of fear. Ben Gurion may well have supported the idea of an arab state but non of that matters anymore does it? In the early years of oslo everybody except for the far right supported it because we were all so full of hope. Later on Arafat showed us he was still the terrorist from Tunis and not the diplomat we all wanted to believe he had turned into. Later hope died and reality set in and today the peace process just is not that important to the average israeli. With the arabs partly because of pressure from Obamaa Bibi tried to reach out to Abbas even gave him a 10 month building freeze but Abbas made condition after condition for talks knowing some of them were just not acceptable so there were no talks but unlike Bibi Abbas knows how to sell himself as the victim and it became Bibi who kept refusing to talk. Oslo is now dead and buried, the UN bid was the final nail in its coffin. Abbas can get himself a state if talking peace means that he gives as well as takes because negotiation does not mean one side presents a list of demands and the other side says you got it and its not understanding that and them taking an uncompromising stance that is the main reason that its been 20 years since oslo and there is still no palestinian state. The building of new homes in Jerusalem is nothing the problem at the heart of this is the palestinians have never learned about the idea of negotiation and are taking the same attitude that killed Balfour, 1948 partition and oslo, time for them to end the everything we demand or nothing attitude because until they do Israel will continue building.
U.S. says working on initiative to de-escalate Syria fighting, with focus on Aleppo (Reuters)
from the article: Ben-Gurion already agreed to a Palestinian state