Any "decisive action" Arabs might want to take is going to result in their utter destruction until at least one of them becomes a nuclear weapons state. They know this, which is why the last Arab-Israeli war was in 1973.
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I acknowledge the point, at the present it would be impossible. However, I'm not sure it will be that long before there's a certain Arab nation with nuclear weapons capability. You must appreciate however, that I don't regard the scenario under discussion as in any way likely. I just don't suppose that the rest of the world would waste much time in weeping about it. They might issue an official statement condemning the actions taken against Israel, but it would be a token gesture.
Additional Spam:
Sanctioning the voyages of Gaza Aid Flotillas is pretty serious direct action that sends a significant message to Israel.
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Yes, it is. As per Styphon's post, may I correct my previous statement to say 'direct
military action. Ultimately if anything is going to happen it will be down to the Arabs to do it. The most likely development is going to be that Iran develop nuclear weapons capability and restore somewhat of a balance of power. There are several potential paths this could take the situation down from there, and I don't claim to be prescient enough to know exactly what the outcome would be.
This thing is sticky, and I don't like it. I don't appreciate it.