The purpose of this study is to examine the U.S. relations to Israel and the affect the relationship has had on Palestine from the viewpoint of Robert D. Putnam’s `two level-game´ theory. The core of the theory is that representatives have been placed between two tables; where one represents domestic negotiations while the other represents foreign negotiations. The bargains made at the foreign table affects the state’s domestic politics and vice versa. Applying the theory on U.S. relations to Israel it is possible to see that the U.S. is leading an unsuccessful negotiation at both tables. The relationship between the U.S. and Israel has existed since U.S. decided to recognize the state in 1948. Events such as the Holocaust and 9/11 have let Israel keep its underdog status as well as its sympathy from the American population. Israel also has a very powerful lobby group which have tried to steer U.S. policies towards its goal, the continuation of the Israeli state. The U.S. government have different interests in the region, besides the peace between Israel and Palestine. This leads to the government’s most difficult mission, being able to both satisfy their own people as well as proceeding with its plans and agendas for the region.