If you think a Palestinian state in the West Bank ...
and Gaza will bring peace and stop terrorism, I have a bridge to sell you.
Here are some facts:
1. From 1948-1967 the Arabs (Jordan and Egypt) controlled the West Bank and Gaza. They made no move to create a Palestinian state nor was there any uprising or call by anyone to create one. Neither the UN, the EU states, the US, teh Vatican, or anyone else, dreamt of creating a Palestinian state.
2. In that same time period there was constant terrorism against Israel
3. The PLO was formed in 1964, NOT to liberate the West Bank from Jordan and Gaza from Egypt but to attack Israel
Based on the above, anyone who thinks that establishing a Palestinian state (which never existed in history) in the West Bank and Gaza will bring peace and stop terrorism is deluding themselves. Just look at the example of Lebanon and Hizbullah. Israel withdrew from Lebanon, called in the UN who marked the border, did that stop the conflict, NO!!, now Hizbullah claims that iSrael is occupying more Lebanese territory.
If there is one thing clear from history it is that appeasing a dictator never works, they always want more.