To settle for statehood on a truncated rump of Palestine seems to me to be a short-sighted and desperate solution.
Palestine is one land, currently divided and occupied by European Zionists who continue to marginalise, brutalize and displace the rightful owners of that land - the Palestinians. The Palestinians are the rightful owners of that land by virtue of being the direct descendants of the Jews of Biblical times. They have since converted to Islam, possibly more as a result of the barbarism of the Crusades than from any other reason. But their conversion in no way negates their rightful ownership.
We in the west don't listen to their plight because of a very effective Zionist lobby that has blinded our political leaders to the truth.
It can't last, of course. In the WWII Holocaust, 6 million Jews died in fear and horror, and the Zionists have been dining out on them ever since. Their guilt-tripping of the west over that horror will eventually come to an ignoble end, as will the horrors of Zionist Israel.
But first the current situation has a way to go before it plays itself out. It is, however, running out of steam. The Crusaders occupied the Holy Land for less than 200 years. Zionist Israel may or may not last that long. If only they were to make peace and common cause with all their citizens, rather than build fences and stockpile nuclear weapons....If only!
Meanwhile we can only help the Palestinians as and when we can and wait with them for this injustice to end.

Prime Minister Julia Gillard and others in the Australian Parliament need to be encouraged by all Australian citizens to play a more balanced and constructive role in bringing about a sustainable political and social justice solution in support of Israel and the Palestinian people and the Palestinian state. The recent decision this month to increase the level of Australian aid to impoverished Palestinians is a step in the right direction.

Australia and friends of Israel and the Palestinians can can look at the power sharing model in Macedonia which ended the hostilities in 2001 between the Macedonians and the Albanians. Where there is a will, there is a way.

Halduall says: "Meanwhile we can only help the Palestinians as and when we can and wait with them for this injustice to end."

This injustice against the Palestinians will never end, not while Israel and its imperial bully brother,the U.S. are running the show. And not while Gillard loves all things Jewish. And not while the Jewish lobby has such ownership of the MSM around the world. And not while deranged Christians think they are part-Jewish.

@David G
I think the current injustice will end, if for no other reason than it is so unbalanced. Whenever a dynamic gets this unbalanced, something topples over.
As to the when of it, perhaps not until Judaism confronts its inner Gollum, Zionism.

Ilan Pappé, celebrated Israeli historian and author, explains here - amidst all the other options people have put forth - why the international Boycott-Divestment-Sanctions movement is the best means to end Israel's oppressive occupation and prevent another Nakba: http://bitly.com/LttVtI But it takes courage and much broader participation. We need to get on with it here in Australia.

http://bitly.com/KgUHFC is another good example if an increasing number of rabbinical leaders within Israel who have turned the corner against Zionism and started sharing from the heart about their deep sense of injustice in all this. But this sort of thing has gained very little press in the Western MSM -- at least not here. Share these stories to give more people courage!