By the late summer of 1949, the frozen battle lines between the Arab and Israeli armies led to the realization that Palestinian refugees would not soon be returning to their former homes.  This episode charts the fascinating and tragic story of the international response to the refugee crisis from 1949 to the mid-50s, including the creation of UNRWA in Dec. 1949.  In particular, it shows how UN thinkers approached the issue from an economic standpoint, believing that a massive program of economic development could integrate the refugees into neighboring communities and provide a permanent solution for their well-being.  As the episode shows, however, these efforts failed because they did not take into account the refugee's psychological needs, including their strong desire to eventually return home.  In the end Palestinians were not prepared to accept permanent exile in exchange for economic mobility. 

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