that they brought up to a level where they are capable of governing themsleves well by means of a state. Preferably one not based on the (currently fashionable in this part of the world) models of either Mussolini or Stalin.

It's gonna be a long hard slog to get them to that point. And just giving them a state now and washing our hands of it - well, I admit it's tempting. Provided that state is surrounded by a security fence, overshadowed by a no-fly zone, and monitored from the air constantly. Then we'd all be safe from the crazy buggers. but if we also want them to safe from themselves and each other, well, that's not so simple.

Yes, they're a defineable group, if you define by how much they're put upon. The same can be said for inmates in a maximum security prison. Except the inmates are less a danger to the rest of us, and at least someone is supposedly trying to rehabilitate them.

What we need is a pre-release center for Palestinians. As each individual proves himself fit for civilized society, we let him out. Maybe find him a job, assign a parole officer. When enough have gotten through this process, we give them some land and some decent civics textbooks (not from the public schools!) and tell them, okay, set up your state if you still want one. Odds are most of them won't think of themselves as "Palestinian" anymore by this time. But they'll still need legal citizenship somewhere.

P.S. If this works with the Palestinians, we can try it with the Tikritis and the Pashtuns. They actually have a real ethnic identity, though, in the worst possible way. We need to help them live their ethnic origins down somehow.