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Not a real quote. Looks like it was added to Goodreads.com and a few other sites.

Are you sure this is an accurate quote? It looks hinky to me. The Romantic Manifesto is a book-length anthology. Do you know which of the collected pieces is supposed to contain it? The Objectivist was a monthly. Do you know which month in 1969? I have all the 1969 issues except July. Tell me which month and I'll check it out.

This whole thread is based on OPs willful evasion of the difference between Palestinians living in the West Bank and Gaza, and Israeli nationals of Arab ethnicity. Palestinians living in the occupied territories aren't second class Israeli citizens. They're not Israeli citizens at all. They're an enemy population, being indoctrinated into hating Israel and killing Jews from childhood until they die, by a government that is at war with Israel. Of course Israel discriminates against them. Every nation state discriminates against foreign nationals, as they should. The expectation that Israel, or the US, or any other state treat foreigners the same way it treats its own citizens, is unreasonable. Especially in the middle of a war. Calling that act of self defense apartheid is just childish name calling, by people who are at a loss of actual arguments. Meanwhile, there is another group of Arabs, who are Israeli citizens. None of the laws and cases OP cites are discriminatory against Israelis of Arab ethnicity. Ethnic Arabs in Israel have the same exact rights Jews do, and, as Leonid said, one fewer obligations.