The Mandate did not give the Jews the land. It clarified that the land belonged to the Jews and they had the right to return to it. The Arabs signed off on the Balfour Agreement in the person of the King of Iraq. Anyway, the Mandate included Jordan too.
In the 1920's to appease the Arabs, Britain cut the Mandated land in two, giving the Palestinians TransJordan and putting on the throne a British puppet.
When the 1948 vote came to establish a homeland, the remaining land was divided into two again. But that land never belonged to the "Palestinians". In fact, instead of accepting the 1948 Resolution, 5 Arab countries declared war on Israel hoping to destroy them. (In fact, Iraq is still at war with Israel). Jordan claimed the West Bank. They never annexed it though.
As the 1948/1949 War for Independence raged, there was population shifts. There were times the Israelis said to certain Arab villages, you have to leave. This is rare. Most of the time, the Israelis implored the Arabs to stay. The Arabs ordered the Paletinians out of their villages with the promise that it would be only temporary. They would soon return and enjoy the spoils of victory.
From 1949-1967, there was no cry for a Palestinian homeland. There was a huge exodus of Jews from Arab countries because the Arabs threw them out. Israel quickly absorbed them. The UN refuses to call these Jewish displaced people refugees because the statue of limitation has run out. Furthermore, the displaced Arabs from the war are still refugees, and there numbers are constantly increasing.
Gaza during this time was run by Egypt. No Palestinian homeland set up.
Then came the War of 1967. Israel wins back the territories, but keeps the Jordanian status quo. Jordan throws the Palestinian Liberation Army out of Jordan (Black September) and the terror (which had been occuring since 1948, increases). The PLO go to Lebanon. They are beaten in Lebanon, go into exile in Tunisia, and are awarded the West Bank in the Oslo Accord.
It wasn't until the 1980's that settlements began to grow... (though Oslo gave the Palestinians a trade of lands equal to the amount taken by settlements) The reasoning behind this is that the West Bank is Israel. They didn't conquer land in the 1967 land... it was their's (and lost in war and won back in war) Funny, no one in the world community never objected when Jordan won it and governed it. Why object when Israel does.
The Arabs keep the Palestinians in camps because they are great PR for the destruction of Israel and the West. Israel is hated and America is hated because Muslims believe that Islam has been humiliated by an inferior culture, ideology, and religion. They feel they are duty bound to overthrow that culture by jihad.
The other Arab countries use the Palestinians in their war against the West and each other. You have two players in the Middle East. You have countries like Iran who want to establish a Islamic nation. You have countries like Iraq, Egypt who are Pan-Arabists, and want to restore the golden age of the Arabs. They use the Palestinians to further their aims.
Take the Saudi government. They are under great pressure because they are corrupt and oppressive. There is a huge segment of Saudis who want the Iranian form of government. The Saudis distract these sentiments by playing up the poor Palestinians. Then the rabble go over and get mad at the Jews and the West until they have exhausted themselves. The Saudi government breathes easy. Keep those people in the camps! We may need them in another month or two.
Its dangerous and perilious... It's history is long and involved. It's absolutely fascinating. Terrorism must be defeated.
By the way, UN Security Council did vote 15-0 on the US resolution regarding Iraq's disarmament.
Speaking of the Security Council, did you know that every country has a turn to sit on this important world body... but Israel. They are not allowed!
We are comparing the forces of civilization with what is essentially a barbarian culture of death. And Islam is at the root. < /rant >