Those Palestinians fought as JORDANIANS in the Six Day War.. Until the King of Jordan expelled the PLO in the 80s after they tried to march on his capital...
However, there WERE displaced Arabs when Israel was created. Most moved to Jordan where the the West Bank was a FULL THIRD of the Jordanian economy and the govt poured investment into it.. Only to WALK AWAY from the West Bank later on after having NO success in dealing with Arafat and other failed leaders...
Okay, that's not saying much, as the Jordanian monarchs have always been more about their own interests than anyone else's.
Now, because I'm a reasonable guy, I could argue for the Two-State solution. The problem is, it's like asking to live in your own garage after a burglar has forced you out of you house.
Not a simple matter of One, Two, Three states.. The underlying continual failure is the fact that Arabs in general and Palis in particular --- DONT WANT a 21st century NATIONAL govt.. They rightfully dont TRUST national govts given the track records of Iraq, Egypt, Jordan, Saudi and the others..
Their ENTIRE IDENTITY is tribal and familial. They identify by city/region of origin. The failure of the PLO govt and the PaliAuthor. govt were the end of that.. And I think they're right. To have an Arab Nation State -- you need brutal dictators who can keep those tribal/familial wars to a minimum...
So -- there's no one to NEGOTIATE WITH.. Who does Israel deal with? You folks that treat this as a "political hobby" and have those "burglar" slogan have NO FREAKING IDEA why the Palis could never form a cohesive national anything..
It's actually pretty noble to want to organize your society along those lines of family, place of origin, tribe. And there are WAYS TO DO THAT -- that have been proposed.. Go read about the organization and founding of UAEmirates.. EMIRATES are the most cultural and stable Arab form of organization.. You can decorate the TOP LEVEL of a UAE with some shared needed "federal" infrastructure and be a UN member..
But just remember when you horse out your "1,2,3 state solution" -- there is currently NO organization that SPEAKS for all those Palestinians in Israel to negotiate with.. Better to be done by dealing with biggest 5 or 6 largest Pali city govts...