if one wants to see how an independent Palestinian Arab state might look like, there is no need to speculate - just check Israel's neighbours to the north and nort-east. Are they those kinds of states we could call civilized, normal, well-functioning, democratic? Israel is the only state in this large region that have all means for providing its citizens (Jews, Arabs, etc.) for that level of life that we here, in North America, consider the most acceptable for modern times. Palestinian Arabs would be better off if they decided to give up their hate and, instead, become a good part of the State of Israel.
But it is a dream really ... and not many Jewish citizens in Israel itself are supportive of such an idea. ALAS!
As for now, I would just be waiting ... settlements, no matter what their UN-viewed legal status is, are lighthouses of modern life on otherwise lost lands.