I think the deal tabled by Israel in 2000 would have worked in the conditions of the time. But, Arafat rejected it and went to war instead. Those conditions no longer exist.
Israel has a serious problem. Every one of their neighbors has a deep founded religious belief that Israel must be exterminated yet for whatever reason the Jews cannot seem to grasp what they mean by that. When someone say they are going to kill you, dammit believe them. That is not a light hearted remark by any definition. If you value your life and that of those you love then make it your primary goal to kill your enemy before he kills you.
Remember when at least one of the parties at that failed peace conference (Camp David) left early because he couldn't stand Chelsea inserting herself into the negotiations? She was following Arafat around like a puppy dog. She was a college senior at the time.