In the aftermath of the Gulf War, Secretary of State James Baker had decided to bring peace to the Middle East. Somehow, though, the Israelis and Arabs didn't have his Nobel Prize at the top of their agenda. In an amazingly civil discussion of this always highly charged topic, Mrs. Hauser and Mr. Pipes both explain and illustrate why it is so difficult. WFB: "Mightn't we ... say that there are two irreducible minimums here: number one, Israeli security, and number two, a homeland for the Palestinians? And then say: Okay, you-all discuss the details. We'll act as a broker but this is--without calling it a plan--this is indispensable to whatever plan you work out. Is that fair?" DP: "I would not go that far." RH: "If we don't go that far and even farther we will be in procedural discussions from now until the next decade."