In an absurd way, Arafat may have done us a favor. The existence of conflict gives the US the opportunity to engage in the peace process. The act of engaging in the process repositions us vis-a-vis the region, with interesting effects on the Iran ‘Rubiks Cube’.
Personally, I don’t think the current generation of Israelis and Palestinians will ever be on peaceful terms. The mingling of religion and state (Jewish and Palestinian) has created a permanent obstacle to moving forward. Palestinians will never be content to live in a Jewish state, and vice versa.
Word to the wise here at home. Separation of Church and State. Fundamentalists and evangelicals who advocate a greater role of religion in state affairs (eg. creationism) are nothing but TROUBLE. They betray the American ideal. Leave it to the Home Skoolers to leave the important stuff out.