I expect that most of us has heard about it and has a little knowledge on the different opinions that exist relating to this. In a nutshell (my nutshell-for this is my way of viewing it), from the beginning the Palestinians occupied the territory which is now known as Israel. Soon after the atrocities that occured to the Jewish people in World War II, the united nations along with the rest of the world did not know where to place the 'left over' Jewish people. Therefore in order to to keep calm among the world they agreed to let this crowd invade this mentioned territory. They chose this territory for a specific reason, a religious one. They believed that this territory belonged to them because it had been their holy land. Now I must point out that they weren't the only ones that thought like this, there were the Muslims and even the Christians that had religious connections to this territory. So why did the world let them create their own nation? If there existed other religions that also had religious connections? And most of all, why did the world allow for them to kick out people?
In my opinion, the world felt sympathy for the Jewish community because after all they were tortured without an end in concentration camps and most of this happened while the world had no clue about it (specifically the United States). The world felt they owed the Jewish people, a personal debt since they did not do much for them until the end. Also, the nation was created a few years after the United Nations was created which meant they did not have the sufficient experience to deal with the problem.
But what matters now is not why it happened, who let it happened nor the reasons behind the decisions but how to solve the problem. We witness that from both sides there is suffering going on but it is pride that is stopping these two groups from agreeing on peace.
As Yonatan Touval stated in his op-ed article 'A Recognition Israel Doesn't Need', Israel may have the right to declare their nation as a nation even if the bases of this idea has to do with their religious beliefs. They must not as for the Palestinians to recognize it due to this reason because they will never agree to it.
"But if Israel seeks peace, it must not demand that the Palestinians recognize its Jewish character. This is not only an unnecessary obstacle, it is deeply harmful to Israel’s own sense of being. After all, you don’t need to be a student of philosophy to know that once you subject yourself to the recognition of the other, you let the other define who you are."
http://www.nytimes.com/2009/05/13/opinion/13iht-edtouval.html?scp=20&sq=op-ed&st=cse