A Palestinian state but no to a Jewish state

At a recent weekly Cabinet meeting, PM Netanyahu said: We insist that the Palestinians, in any diplomatic settlement with us, recognize the State of Israel as the national state of the Jewish people. The entire international community demands that we recognize the principle of two states for two peoples, yet it is clear that the Palestinians have no intention of recognizing the national state of the Jewish People. Of course, this is completely unacceptable. ("[Israeli] Cabinet Communiqué," IMRA, 20 Apr. 2009)

The PA has openly rejected this, willing to recognize Israel, but not as a Jewish State. PA spokesman Abu Rudaineh called Netanyahu's words a 'provocation' and claimed the new Israeli government was placing obstacles in the path of peace. ("PA: Recognition of Israel as Jewish State a 'Provocation'," Arutz 7, 17 Apr. 2009)

PA head Abbas added in a speech in Ramallah, A Jewish state, what is that supposed to mean? You can call yourselves what you want, but I don't accept it... ("Abbas: 'I Don't Accept' Israel as Jewish State," Arutz 7, 27 Apr. 2009)