I think one solution could be that Egypt(friends of the Palestinians) gave them a piece of land in the North of the Sinai peninsula. They don't need much space after all, and Egypt have plenty of space. The climate, the landscape and everything is the same there as the west bank and gaza..
Seems like one rational solution, and I am sure there are many seemingly rational solutions, but reason and logic does not always work well with hate, bigotry, racism, and religion. No need to mention anti-Semitism because Arabs cannot be anti-Semites. We have some land out West the Jews might like too. Some would say 1948 was a mistake, the Palestinians should have declared independence first and been recognized as a State by us First.
Israel is not getting the promised land, and if we the people of earth are smart the so-called “Palestinians” will get less than back to the Green Line and no right of return. They both must prove they can live in peace, or we should by law forbid any of their kind from ever visiting any space colony where they could pop the bubble. Why should a nice elderly guy like you have his butt probed for a salami bomb, before boarding the spacecraft, due to an ongoing Palestinian/Israeli problem? What is rational is not always moral, and morality depends upon the observer.
Arabs/Palestinians can be Black Stone Idolaters who talk to rocks and trees, which we are supposed to respect is a rational thing to do. I can accept an invisible God by faith, but I am not talking to no rock or making it part of my faith. Moslems thought Catholics were exceeding the limits with the trinity and all those recycled Mary/Venus statues, mixing them up with unbelievers, pagans, and idolaters, while Islam was ignoring how a “prophet” said to pray (which made sense he would be all knowing and not like Satanic paranoia bread of not getting up fast enough from mechanized prayer to be seen of men), which fits with Moslems talking to rocks and trees. Rational is a more simple sentence, but reason does not fit the breathlessness of this ongoing insanity.
Israel going back to the Green Line seems rational and logical too. It is so easy to tell Israel to quit the occupation, any idiot can say it. Israel was already there, and it was not good enough. The PLO predates the Green Line. Pictures of Jews given access to their Temple Wall, in compliance with international law, only happened through war, which was all after the UN peacekeepers were withdrawn from Egypt knowing war would happen. Going even further back to the borders of 1948, according to the partition, with more than up to the Green Line for Palestinians, was not good enough for Islamifascism and their “Christian” dogs (with the tiny politically correct door to “humble” Christians {something unknown to Christianity, hell you can see the door was bigger}, as it was not to keep humiliating riders out), that is why we have the phrase “right of return.” Sorry, I did it again, I am breathless with this idiocy. A partition more generous to the so-called “Palestinians” was not good enough, when they could have had it.
In essence the aggressors want to return to the borders that existed before they aggressed, then they claim they will be happy and at peace.