Yeah, that is the problem, there seems to be no one near the steering wheel on either side that really understands a path forward. and I think Israel is quite conflicted since the longer this issue persists, the greater the territories that it manages to secure. (but the more its economy suffers, modestly, from fall out from this issue.)
What I like about the general direction I am suggesting is that it could be spear-headed w/o loss of security to Israel, w/o requiring any kind of consensus from Palestinians.
But it would require cash and support from the world and Israel in order to make the enclave strongly BETTER than the rest. I am hopeful that once it was established that (1) the enclave could secure itself, and (2) the world would shower benefits upon it. Then there would be an increasing flood into it.
And I like that is respects the Palestinian right to choose how they wish to react to their occupation --- while I feel strongly that reacting violently is not in their interest, it is not my right (or anyone's) to tell them how to react.