Is the Palestinian problem the major Middle East problem?

Here is a coincise formulation of the point that I have made several times in this blog (here, here, and here): the Palestinian problem is being used as a way to distruct the World's attention from the far more serious problems within and among the Middle-Eastern states:
"For decades, the chattering classes have been working hard to teach us that the central issue of the region was not the Shia-Sunni conflict or the struggle for freedom by Arabs longing to rid themselves of autocratic monarchs or dictators. The belief in the centrality of the Palestinian issue was so strong that every other consideration had to be subordinated to the cause of trying to assuage the anger of the Muslim world at their plight. But in the past year, the main subjects of discussion have been the Arab Spring revolts and the debate over how best to stop the Iranian nuclear threat. The result is that the world is getting on with its business these days without obsessing about the Palestinians. Even President Obama, who had picked an annual fight with Israel, chose this year to abandon his usual attempt to pressure Israel into concessions to the Palestinians."