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The protection of the people in particular would have to be instated as terrorism, although not an important factor in the war, has claimed its victims with the passing of time. Terrorism was dealt with harshly in Israel, people believed to have connections to terrorists being abused and deported and human rights being neglected.
If peace were to be agreed of, Palestine would be admitted as a state by Israel and subsequent to that by most of the countries, the state finally reaching its objective after years of running as a fictional state.
An alliance between Palestine and Israel would help the first to attain a state of sovereignty by protecting Israel from other Arab countries and it would help its ally to combat the deficiency of forces from the West Bank.
The return of the Palestinians would imply some problems, the most significant of them being the scarcity of space to take all the newcomers.
Although Arabs and Israelis have far from common interests, there is a chance for them to leave together in peace each accepting the other's system and solutions in favor of a truce to take place.
One of the most terrible wars in Arab-Israeli history was the 1973-74 war that took place on the 6 of October, on the Jewish day of Yom Kippur, hence its name -- the Yom Kippur War.
The 70's were bringing...
with cutting off oil supplies. On the 6th of October Egypt's President Anwar Sadat led his troops to war against Israel and it now faced war with almost every Arab country with its troops by a large amount outnumbered. While during the first two days the Israelis had been pushed back almost arriving in the populated zones, they've started a counter-offensive that forced a serious retreat from Syria.
Having witnessed the conflict, the Soviets and the Americans, decided to get involved in the war by supplying the countries with weapons and turning it into a personal war. It were the superpowers also that later ended the war by convincing the two parts to sign a cease-fire accord.
The world had almost confronted a nuclear war, as the Yom Kippur War almost lead to a war between the Soviet Union and the United States.
References
Bard, Mitchell. "The Complete Idiot's Guide to the Middle East Conflict," Ph.D. (Alpha Books -- Macmillan USA) Once again, Syria and Egypt attack. And yet again, only a miracle stops them. http://www.aish.com/jewishissues/middleeast/Arab-Israeli_Conflict_5_-_Yom_Kippur_War.asp
Bjorn, Moller. "Three Futures for Israel and Palestine"- January 1999
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