The Israeli government has reconfirmed that it intends to build 1,600 new homes for 'settlers' in East Jerusalem to reduce teh cost of affordable housing by increasing its supply.
The Palestinians are gainst it but since the Israelis say their motivation is economic could teh Palesitinans build an equal number in Israel or West Jerusalem, purchasing teh ladn under the relevant legal jurisdiction, and then exchange them as apart of a peace negotiation?
Another option would be that as part of teh two state solution, a Jerusalem, Bethlehem and Ramallah joint capital city area is established and settlements such as these become diplomat housing for either legislature (Palestinian or Israeli) or any UN presence there. However according to BBC News website at present there are no new peace negotiation initaitives.
Palestine is seeking UN recognition for statehood this September.
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