American liberals fudge the truth in much the same way as they hailed Stalin as a great liberator and went ga-ga over Mao-tse-tund. So it is no surprise that Arabs are better informed.
Yes.
As far as memories go, the Azhkenezi and Shepardic jews who migrated to Palestine after the European inspired HOLOCAUST construct their national meories of Israel around the theme of perscecution and the memory of the German Holocaust. In Palestine, the Jews had no such memory and when Israel was created in 1949 were suddenly struck by a whole different historicasl narrative.
Jews migrated to Judaea and Israel before the Holocaust. They did not just show up in 1949. That wouldn't make sense anyway. How many European Jews were left at that point?
Sephardim mostly didn't have memories of the Holocaust. A few lived in the Netherlands but most lived in Turkey, Morocco, and Israel even before the first (European) Aliya (immigration wave to Israel).
But the Sephardim are not the issue. Morocco and Turkey were not very antisemitic places. (Morocco still isn't.)
It's the Mizrachim, i.e. "eastern" Jews from Egypt, Syria and Iraq who were being persecuted long before the Holocaust and ever since. They fled to Israel between 1920 (end of Ottoman Empire) and 1967 (Six-Day War). It is those Jews who know few of the stories commonly told about how Jews and Arabs lived in peace together in the past. (The smaller community of Temanim, Yemenite Jews, had a similar fate.)
Imazighen (the natives of "Arab" Morocco and Algeria) can tell you how they are being discriminated against. But the main problem is the fate of ALL non-Arab peoples in the "Arab world", especially in Egypt, Sudan, Syria, Yemen and Iraq.
Tell a Kopt in Egypt that "Jews and Arabs lived in peace" and he might just wonder why the Muslims lived in peace with the Jews but not the Christians.
Tell an Aramaean in Syria the story and he will be surprised because he doesn't remember the Arab regime being very nice to anyone, let alone the most hated minority.
Ask a Kurd in Iraq about how much love the Arab regimes had for non-Arab peoples. Or ask an Assyrian about the situation even today.
More Jews fled from Arab countries to Israel than Arabs from "Palestine" to Arab countries.
And it was NOT because "Jews and Arabs lived in peace".
I think you too agree that the situation was much different during the Ottoman period and too much water and blood has flowed down for that example, unfortunately, to be relevant.
I'll never understand why the world apparently agrees that all the land the Ottomans lost is automatically "Arab" until proven otherwise.
Why is it not Kurdish, Jewish, Assyrian, Aramaean, Koptic, Amazighish or Nilo-Saharan until the Arabs bring up a reason for why they ought to control all the land?