Seyla Benhabib makes a proposal for Israel-Palestine:
A confederation would not mean the disappearance of the national collective polity and identity of each people: within some version of the pre-1967 territories, that is the Green line, Israel would remain a Jewish state, with its language, and holidays and elections; but it would share power in military, security, intelligence, currency and trade matters with the Palestinian state. Likewise the Palestinians would have their own language, holidays and elections, but the two peoples would develop some form of joint school curricula particularly in the teaching of history which did justice to historical truths and to the suffering of both peoples. Children of a new generation would learn to have empathy rather than hatred for each other. There would be some equalization of socio-economic and welfare rights in this confederation so that everyone would not want move into the wealthier Israeli provinces; religious pluralism and liberal civil rights would be respected equally for all Jews, Muslims, Christians and all people of other faiths. For the religiously observant who would want to have their personal affairs to be administered by religious authorities there would be optional religious courts but there would also be a shared Bill of Rights for all peoples which would guarantee equal civil and political rights.