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646,
1. a. The Iranians don’t attack because they still do not have long-range missiles and are busy in Syria. The Saudis have made peace with the idea that Israel is here to stay. They are also mostly concerned with Iran. There is an Arabic saying that the enemy of my enemy is my friend.
b. If Arafat would not accept 99% and certainly would not recognize Israel what will the much weaker Abbas do? Besides, he obviously lies the present situation, as does Hamas, because he has not declared a state.
c. Abbas is 83, sick and has no successor. What will happen after he goes?
d. Do you believe that Hashem gave it to us? If so, would you agree to share your house with someone who comes in and squats?
3. I agree regarding economic cooperation but that does not require giving them a state. There can be some kind of extraterritorial Jordanian arrangement.