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Positive changes are evident today in both the Israeli and Palestinian governments

Hardly anyone seems to notice the good news from the Middle East during the past few weeks. The parting of ways between the Gaza Strip under Hamas's rule and the West Bank under the rule of moderates is a historic window of opportunity for peacemaking between Israel and the administration of Mahmoud Abbas. Both Israeli Prime Minister Ehud Olmert and Mr. Abbas's government accept the principle of two states for two peoples, the idea of trading land for peace and the goal of ending Israel's occupation of the territories. While there are many points of dispute, in no case does an abyss separate the two sides. Intensive negotiations can bridge these differences and produce a draft agreement.

But what about the Gaza Strip, which has fallen to Hamas and which operates under the influence of Iran and the inspiration of Hezbollah? There is reason to hope that when a comprehensive Israeli-Palestinian agreement is reached, and when the creation of an independent Palestinian state removes the sway of Israeli occupation from the Palestinians there, a popular movement in Gaza will rise up against the tyrannical, religiously fanatic Hamas regime. The Gaza Strip's masses, surely, will comprehend the historic achievement of the West Bank's inhabitants, and will fight to lift the yoke of Hamas and join the Palestinian state.

Positive changes are evident in both the Olmert and Abbas governments. Israel has made a series of gestures to demonstrate its good will: It has released Palestinian prisoners, allowed Mr. Abbas's forces to equip themselves with new weapons, stopped hunting down Palestinians on its wanted list and eased up on other strictures.

The Palestinians are making palpable efforts to end anarchy in the West Bank, to collect weapons from armed bands and to prevent attacks on Israel. The policy of the new Palestinian government omits, finally, the standard provision calling for armed struggle against Israel. Instead, it speaks of an agreement to be achieved by negotiation. And rather than demanding the "right of return" of Palestinian refugees to Israel - tantamount to the destruction of the Jewish state - the new Palestinian program contains a section calling for "a just and agreed-upon" solution to the refugee problems. All these are blessed syndromes of moderation.

But Israel's gestures are liable to become no more than a sop if they are not followed by vigorous and earnest negotiations aimed at resolving all remaining disputes and establishing a Palestinian state in the West Bank. Negotiations must commence immediately on the "core issues" of the conflict: Jerusalem; permanent borders; Israeli settlements in the West Bank; the refugees of the 1948 war; and the holy places. Models for solutions of all these problems are already available - the Clinton formula, the Taba formula, the Geneva draft agreement.

Are the Olmert and Abbas governments strong enough to persuade the Israeli and Palestinian peoples to accept an agreement in which both will have to make painful concessions?

Here's good news: If the two leaders courageously reach a draft agreement, and if they put that agreement to referendums in Israel and Palestine, everyone will see that both peoples are actually ready for a compromise solution. Public-opinion surveys in Israel and in Palestine repeatedly reveal that the two peoples are indeed ready for a compromise.

Will the Israelis and Palestinians be thrilled by the agreement? Will they dance in the streets when it is achieved? They almost certainly will not. But - and this is the good news from the current bad situation - both peoples already know what the bottom line is.

And they will endorse it at the polls, even if they grit their teeth as they do so.

Translated by Haim Watzman © Amos Oz 2007

Credit: Israeli novelist and a founder of Peace Now