[okie01]

If Israel annexes, then deports a sizable Arab population, Israel would be branded by almost the entire world as another fascist state.

And how are they branded now, by almost the entire world?

In fact, Israel has little to lose.

[Leaning Right]

And how are they branded now, by almost the entire world?

That's true. But moral issues aside, forced deportation of two million people is an ugly, difficult matter, made even more so by modern media coverage.

Israel does have a few friends left. It would be hard for them to stay that way should Israel annex, then deport.