The focus of this hearing was on the issues of education of Palestinian young people, funding by the U.S. Government for the Palestinian Authority, and the implications on the Mid-East peace process. Opening statements were presented by Subcommittee Chairman Senator Arlen Specter, Pennsylvania; and Senator Hillary Rodham Clinton, New York. Witness testimonies and prepared statements were presented from: Itamar Marcus, Director, Palestinian Media Watch; the Honorable Mr. David Satterfield, Deputy Assistant Secretary of State for Near Eastern Affairs; James Kunder, Deputy Assistant Administrator for Asia and Near Eastern Affairs and Director of Afghan Relief and Reconstruction, USAID; Richard Solomon, President, U.S. Institute of Peace (accompanied by Steven Riskin, Program Officer, Grant Program, U.S. Institute of Peace); Dr. Hassan Abdel Rahman, Chief Representative, PLO Mission; Ziad Asali, President, American Task Force on Palestine; and Dr. Morton Klein, President, Zionist Organization of America. An additional submitted statement from The American Jewish Committee is also included as part of the hearing record. (Contains 8 footnotes.)