A case in point is Israel's closure of Gaza's border crossings. Consider what happened in Rafah when 700,000 Palestinians from Gaza – with a little help from Hamas explosives and a bulldozer – tore multiple holes in the metallic security barrier separating Gaza from Egypt, then stormed into Egyptian frontier towns and villages to purchase all they could find and carry back to Gaza.

By blasting holes in the security barrier Hamas also blew gaping holes in Israel's containment policy. The Rafah border incident is a perfect illustration of why engaging Hamas in dialogue is crucial if anyone is serious in achieving progress on the peace-talks front.

As we have seen in Iraq for 12 years, and now more recently in Gaza, sanctions and military threats simply do not work. Rewind the Gaza film and look closely at what happened. Israel's imposition of a blockade on the Strip to collectively punish a population of 1.5 million people for the actions of a few fanatics, makes Israel look like the bully, even if its punitive action was in retaliation for Palestinian gunmen firing crude, home-made Qassam rockets at Israeli population centers.

Not only that. Such retribution will strengthen Palestinian resolve to seek an independent state, come what may, and fight back at Israel, thereby continuing the vicious cycle of violence.

Second, collective punitive actions will help widen the schism between Israelis and Palestinians rather than establish, let's not say cordial, but at least acceptable relations among neighbors.

Third, collective punishment of Gazans will augment anti-American sentiments in the region, given Washington's tacit support of Israel.

From Hamas' perspective, their handling of the crisis puts them in a position of strength, both where their own people are concerned and vis-à-vis the Israelis.

In the eyes of the Gazans, Hamas comes across as a witty tactician who out-maneuvered Israel. The current regime of political uncertainty Gazans are forced to live under, amid high unemployment and strenuous living conditions, with poverty and despair as the only certitude in life, is the best guarantee for Hamas to find future recruits, including some who will be desperate enough to commit the worst acts of violence against civilians.

Hamas maintains that it rejects recognition of Israel, but is willing to abide by a long-term ceasefire, committing to an agreement running 50 or even 100 years. Why not accept that agreement? Why not recruit the help of the European Union, the United States and Arab oil money to better the lives of Gazans, giving their young people hope for the future and something worth living for, other than revenge?

We have tried war for 60 years with rather dismal results. Why not try peace for the next 50? At least a formal accord with Hamas will put a stop to the firing of Qassam rockets on Israeli cities. It's worth a try.