Check out the Spinsters on this subject [link is at instapundit]. Statehood means that terrorist attacks are acts of war by Palestine against Israel, and the Israelis can treat the Palestinians like any other combatant nation. Instead of going into the cities, the Israelis will just line the artillery up outside the city limits and bombard the place until it falls like Jericho in the Old Testament. And we can tell Arafat when he complains, hey, you started it, guy.