As far as discussion of the term Arab Jews goes (in particular when not looking in retrospect), Palestinians Jews had little to no influence on the political development of jews in the arab world. As you already noted before, they were prone to follow the influence of more important activity centers, like syria, egypt and iraq. One should consider splitting the article into two, prior to the establishment of Israel and after it. the establishment of Israel marks a serious turning point in the attitudes of both Jews and Arabs towards the issue, not to mention the exodus itself. nonetheless, they definitely should not be omitted and deserve a section of their own. this article could/should grow a whole deal, it's hardly yet time to take a deletionist attitude towards it.