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AP Photo (2) A slap in the face to Biden on settlements, and now a new insult: Israel is playing a dangerous game with America. Leslie H. Gelb on how the dispute badly damages U.S. power.

Israel’s right-wingers are congratulating themselves on their announcement of new construction in East Jerusalem during Vice President Biden’s visit last week. They think this stance, so unwelcome in Washington, this public and gratuitous insult to America’s negotiating position in the region, will compel President Obama to back down. They reinforced...