Prime Minister Ehud Olmert said Monday that Israel must continue negotiating with the Palestinian Authority.  In a speech to the Knesset before the Knesset’s winter session began, Olmert said that Israel’s only two options are to create a PA state or fight a difficult demographic battle.

“Israel has excellent excuses that justify a freeze on negotiations,” he told the Knesset.  “But I’m not interested in excuses.  I’m determined to give the political process a chance... Every other option means a tear-soaked demographic struggle.”