The simple fact is that the Palestinians' were offered a state along with Israel in 1947. The Arabs told them not to sign as they planned to attack and conquer Israel. Since then they have been offered a state several times and said no. I wish I live long enough to see an eventual peace deal and I bet it would be worse than what they were offered in  1947. 

If you want to keep blaming Israel go ahead but you are ignoring the facts of history.