To a standing ovation from the General Assembly, PLO leader Mahmoud Abbas applied for full Palestinian membership in the United Nations today. On the streets of Ramallah, rapturous crowds waved flags and cheered a speech that attacked Israel as an occupying power defiant of UN resolutions. Israeli Prime Minister Netanyahu, in turn, attacked "militant Islam" and said peace will not be achieved by UN resolutions but only by negotiations between the parties. Will today's actions renew the peace process? What are the implications for American diplomacy in the Middle East?