"They will continue to nibble on the west bank, completely occupy Jerusalem, and encroach on former Egyptian territory in Gaza."

Take a good look at the following map:

http://www.passia.org/palestine_facts/MAPS/Palestine_under_British_Mandate_1923_48.htm

You will see quite clearly that Gaza, the city of Jerusalem and the whole of the west bank all lay within and were part of the section of the mandated territory set aside for the establishment of the national homeland for the Jews.

The white lines on the map show the "green line" that came about with the cease-fire brokered by the UN in 1949. It shows the Palestinian territory invaded occupied and annexed by both Egypt and Jordan.