The White House has been examining a proposal by James Baker to launch a Middle East peace effort without Israel. The peace effort would begin with a U.S.-organized conference, dubbed Madrid-2, and contain such U.S. adversaries as Iran and Syria. Officials said Madrid-2 would be promoted as a forum to discuss Iraq's future, but actually focus on Arab demands for Israel to withdraw from territories captured in the 1967 war. They said Israel would not be invited to the conference. “As Baker sees this, the conference would provide a unique opportunity for the United States to strike a deal without...