Is it Hamas, because the 'evil Jew' refuses to make peace? And because they were there before the Jews came? Is it the 'evil Jews", because they were there before the Ottoman Empire practically kicked them out if they didn't want to convert to Islam? At least here we know that Judaism existed first.
Just like the native american indians existed first in the US before they were fucked over by the european settlers who now rule the country and own all the land? if every country had to go back to the borders it had last time the Jewish people were actually in the promised land then the world would be very different. That is never going to happen though, and most people would not want it to.
The two state solution involves pretty much drawing the borders where they are now with the exception of Jerusalem. Jerusalem is sacred ground to Christianity, Islam and Judaism so the only fair option is that it is ruled by no single religion and is shared by all as the cradle of all religions. This is simply the only fair option.
Sure, there are extremists on the arab side who would like to drive into the sea, they have to realise that simply will not happen. There are also people within Israel though who view the promised land, as handed down to the Jews by god as sacred and that includes all the land between the Nile and the Euphrates rivers, these people also have to realise that driving that many Arabs from their current homes is also out of the question. Once all parties back away from these extremes only then will there be peace.