by giving back the land they claim, and stop entering the aerea with tanks at every whim, then start trading with them and increase living standards
The land they claim? The West Bank and Gaza?
There were suicide bombers before Israel controlled them. The PLO and other organizations were founded long before there was a single Jew in the West Bank. They were also founded, and making attacks and bombings, before any incursions.
During periods when the IDF doesn't make incursions, suicide bombings still happen. During and soon after intensive incursions, suicide bombing slows or stops.
If you give back the West Bank, it will be a triumph of terrorism, and more land will be demanded. The very charters of the terrorist organizations flat-out say they want all of Israel--legally bought Israel.
Trading with and increasing the living standards of somebody who's spending all their money on bombs and guns, and who is constantly killing your civilians in suicide attacks, is kinda tough.
I am not yet born, console me.
I fear that the human race may with tall walls wall me,
with strong drugs dope me, with wise lies lure me,
on black racks rack me, in blood-baths roll me.