The ending of the cold war did not leave any sign of hope for the world to live in peace and prosperity. Until this second, there are hundreds of men, women and children being killed, injured, raped and executed for various reasons, some which may be legit while others are war related objectives. The world, not sure if this is the right word for it now, has gone and still is through some very tremendous events in the last 17 years or so, starting off with the gulf war which shocked the world in one night, Kosovo war, Al-Aqsa Intifada, war in Afghanistan, war on terror and Iraq, the list can go on and on, some which remain in the books of history and some which are still written about in history books today as that they are ongoing conflicts and example would be the war on terror. To make this whole concept I just talked about more clearly, I will try to explain the reasons to why the ending of the Cold War was not followed by a period of world peace and stability, by talking about the gulf war and how one night changed the lives and situations of many nations, mainly Israel and Palestine and how the PLO (Palestine Liberation Organization) played a major role in this war, leading to the Palestinian Intifada and the current events that are happening right now.
The Gulf war was simply a conflict between Iraq and a coalition force from 35 nations authorized by the United Nations (UN) and led primarily by the United States in order to liberate Kuwait. The Gulf War had two major impacts. First, the war was a catalyst for regional changes that started several years before the eruption of the crisis itself. The polarization of the Arab world was intensified by the invasion of an Arab state by another. Second, the war demonstrated which political terms existed in the Middle East at the time of the Iraqi invasion. On a rhetorical level, Saddam Hussein established a link between the Persian Gulf crisis and the Israeli occupation of the West Bank and Gaza, thus demonstrating the destabilizing effect of the unresolved Israeli-Palestinian conflict. The Iraqi leader compared the Iraqi invasion with the Israeli occupation of the West Bank and Gaza and demanded Israeli withdrawal before even considering a pullback from Kuwait. 
During the Gulf War, the Israeli public took a step to the right, legitimizing the sanctions the Likud-government posed on the Palestinians. The sanctions were a result of two circumstances: the failing of the Palestinians - especially the PLO and the moderate political leaders in the West Bank - to condemn the Iraqi invasion; and the images of Palestinians cheering the Iraqi Scuds raining down on Tel Aviv.  Israel closed the borders between 'Israel-proper' and the occupied territories, preventing Palestinian workers from attending their jobs in Israel. Despite an increase of nearly half a million in the Israeli population due to immigration from Russia between 1989 and 1991, the Israeli policy resulted in a reduction in the GDP and a deterioration of the economic situation activity (ibid.). For the Palestinians, an already difficult economic situation got worse. This resulted in a boomerang-effect for Israel, intensifying the level of conflict with the Palestinians
With the outbreak of the intifada, the core of the Israeli-Palestinian conflict moved inside the occupied territories, and the Green-line was re-drawn. The broad mobilization of nearly all layers of the Palestinian society in the earliest stages of the uprising strengthened the national unity. This kind of communal uprising turned out to be more difficult for Israel to fight than the PLO-launched guerilla-attacks from Arab territory during the 1970's (Hunter 1991). Despite the optimism, the standard of living continued to deteriorate...