1. Strengthening the Palestinian Economy to Keep a Two-State Solution Viable
- Author:
- Hardin Lang and Rudy deLeon
- Publication Date:
- 04-2016
- Content Type:
- Working Paper
- Institution:
- Center for American Progress - CAP
- Abstract:
- It has been more than two decades since the signing of the first Oslo Accord, which set into motion a process that was designed to achieve a lasting peace based on a two-state solution. Subsequent rounds of diplomacy have failed to realize that vision. Growing numbers of Israelis and Palestinians have begun to question the “land for peace” bargain. Yet the strategic logic of a two-state solution, with an independent state of Palestine alongside the state of Israel, remains strong. Without two states—both viable, thriving, secure, and free—Israel faces a difficult dilemma in reconciling its identity as a Jewish state with its tradition of democracy. The stalled peace negotiations have left Palestinians looking for other options to achieve greater control over their own affairs. Former Palestinian Authority Prime Minister Salam Fayyad has called for a long-term nation-building project independent of negotiations with Israel to set the foundations for an eventual Palestinian state. But various crises continue to chip away at the legitimacy of the Palestinian Authority, or PA. Plans for a Palestinian political transition also remain opaque. As one observer in the West Bank town of Ramallah put it, “There is no longer a story that Palestinians can tell themselves about how our lives get better.” In recent years, some Palestinians have shifted their rhetoric toward the pursuit of full economic and political rights as part of a so-called one-state solution. For his part, Palestinian President Mahmoud Abbas has sought to increase international pressure on Israel to force recognition of Palestinian statehood. This strategy hinges on a campaign to leverage international boycotts, divestment, and sanctions—or BDS—against Israel. But some BDS leaders have conflated opposition to Israeli policy in the West Bank with a challenge to the “legitimacy of the concept of Israel as a democratic and Jewish State”—a stance at direct odds with the objective of a two-state solution. The next U.S. president will enter office facing an unresolved Israeli-Palestinian conflict. The new administration will need to take steps to sustain a two-state solution until a resumption of talks becomes politically feasible. As the Center for American Progress has previously argued, the window on a two-state solution is rapidly closing. Key security, institutional, and economic challenges must be addressed to keep that window open. This report looks at the set of economic challenges that must be tackled in order to maintain a viable Palestinian polity capable of anchoring a future Palestinian state.
- Topic:
- Security, Diplomacy, Regional Cooperation, and State Building
- Political Geography:
- Middle East, Israel, Palestine, and Jerusalem