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I'd start with "One Palestine, Complete" by Tom Segev.
What books would others suggest?
I always find Noam Chomsky's deliberations interesting. Did anyone ever read Jimmy Carter's book? It doesn't acknowledge British/American complicity in the conflict, pre/post war respectively, but he does strongly condemn the restriction in palestinian land by the Israeli barrier wall and other encroachments.
Well, accepting that "the I/P issue" includes the many, many I/P issues, I suggest Three Wishes: Palestinian and Israeli Children Speak by Deborah Ellis as a book that reveals much about one very important issue: how the choice for war has affected the lives of children.
1. Anything and everything by Ilan Pappe. The key book is The Ethnic Cleansing of Palestine. There are plentiful video resources by Pappe for those looking for a quick fix of information. He is an outstanding, and amusing, speaker. Threatened with death by Zionist thugs, he had to leave Israel and teach elsewhere.
2. Anything and everything by Noam Chomsky.The titles are too numerous to mention.
3. Anything and everything by Norman Finklestein.
4. Anything and everything by most Palestinian Solidarity Organizations. Canadian solidarity organizations have plentiful information, as do many others. The South Africans, in particular, what with their extensive experience with Apartheid, are a gold mine of information and experience - given their victory in the struggle against a institutionalized racist regime. I would also mention British MP George Galloway, who has been a Palestinian solidarity activist for over 20 years and, whose indefatigable efforts on behalf of the Palestinians has earned him the hissing venom of the Harper Conservatives and made him the first British MP in history to be banned from Canada. I would mention Robert Fisk as well, the Angry Arab, and others.
The more one reads and understands about this issue, the more outraged one becomes. The remedy to impotent rage, however, is activism for social justice. Read with a view to change the world.
The Colonial Present by Derek Gregory has an excellent section on Palestine which takes a geographical perspective and was the first book which really opened my eyes. I recently read The Iron Cage by Rasid Khalidi which looks at the history of the Palestinian struggle-he is quite critical of its leadership but includes the extremely dificult context and obstacles they have faced. I just took two of Pappe's books out of the library and I'm looking forward to reading them.