I think Jews would have been much safer had the idea of an independent state, as opposed to a homeland, not came about. If the Balfour Declaration would have been interpreted that way, something could have been worked out with the Arabs, who really did not mind Jews until the tzioinim came along and decided that land they bought gave them sovereign rights.
While I think Jacob de Haan HY”D was a strange fellow who was not capable of doing very much, the tzioinim so feared the possibility of someone negotiating for a peaceful Jewish enclave under foreign rule that they killed him.
That being said, I favor national service for charedim, in a charedi framework that is open to all.
We will be the worst nightmare for the tzioinim once we truly enter their society and become as productive as we are in chutz la’aretz. (Sorry, Zdad – we are not all on welfare, and some of us employ plenty of less frum Jews including veterans of the IDF who left the tzioini paradise for the US and Canada.) Since the real extremists will not enter, they’ll be marginalized and the medine, if it lasts much longer, will see a huge wave of chazara betshuva as those who are not leftists learn what Torah is really about.
Then, it will either be medina ke’halacha (NOT medinat halacha as that is for Moshiach) – or halcha hamedina. Halcha hamedina could mean a binational one-man, one-vote state where the remaining chilonim would pack up and leave, as most Jews would care about living in Eretz Yisroel rather than pretending to run medinat “Israel.”
And this is why I expect the status quo to continue, until Moshiach comes or Reb Yoilish’s prediction of a peaceful dismantlement comes to pass.