What does Israel's new prime minister mean for peace?

Israel's new coalition government, led by Likud Leader Benjamin Netanyahu, was sworn into office last week amid consternation over what it would mean to prospects for peace in the Middle East.
The situation grew even more ominous when the new government's Foreign Minister, Avigdor Lieberman, used the handover ceremony the next day to launch into what many considered an undiplomatic attack on the peace process.
"The fact that we say the word 'peace' 20 times a day will not bring peace any closer," Lieberman said. "If you want peace, prepare for war; be strong."
Is the concern over this new government justified? Has Israel gone from a military assault on Hamas in Gaza to withdrawal from engaging with Palestinians at all? And even to preparing for war?
Here's a look at a few of the questions that have arisen:
-- Is the peace process dead?
No, but one could say it's in a coma.
At his first cabinet meeting on Sunday, Netanyahu said he will soon be announcing his government's plans for pursuing the peace process with the Palestinians. Most indications are that he will be emphasizing economic improvements in the lives of Palestinians.
While Netanyahu did say at a business conference last week that "the economic track is not a substitute for political negotiations, it's a complement to it," most political analysts here believe he subscribes to the view that if the Palestinian people enjoy an improved quality of life, they're less apt to rebel.
Sufian Abu Zaida, a former Palestinian cabinet minister and someone who does support Israel's right to exist, disagrees. He says economic improvement is important to the Palestinian people, but not as important as political independence. He told Netanyahu last week that if he's serious about improving life for the Palestinians, then he will have to permit the free movement of people and goods.
However, even if Netanyahu is serious, there will be no hope of a deal with the Palestinian leadership unless Fatah and Hamas end their acrimonious division.
-- Has Israel abandoned the two-state solution?
While Netanyahu has refused to endorse the concept of a Palestinian state living side-by-side with Israel, that doesn't mean the principle is a thing of the past.
For one thing, Netanyahu has said that, in his view, a state is something that enjoys near-absolute sovereignty and that the self-governing entity he imagines Palestinians having would, to begin with at least, have restrictions on its military, borders and foreign policy. In that respect he's not much different from other Israeli leaders who would restrict the same things, but still call the entity a state.
For another thing, Lieberman has made clear he supports the concept of a viable Palestinian state.
-- Will the new U.S. administration get tough with Israel?
Certainly there appears to be a change in the political climate in Washington. Not only has President Obama indicated his support for Palestinian statehood, but also leading members of Congress such as Rep. Gary Ackerman (D-N.Y.) and Sen. John Kerry (D-Mass.) have indicated there is a new way of looking at Israel's concerns.
However, it may be that the U.S. administration will become fixated on other issues, such as Iran's development of nuclear weapons.
E-mail Patrick Martin at pmartin(at)globeandmail.com.

(Distributed by Scripps Howard News Service, www.scrippsnews.com.)
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