Jerusalem is the “unified capital of Israel and the capital of the Jewish people, and sovereignty over it is indisputable,” Prime Minister Binyamin Netanyahu said Sunday, responding to an American demand to put an end to a housing project to be built in east Jerusalem. “Hundreds of apartments in the west of the city were purchased by Arabs and we didn’t get involved. There is no prohibition against Arab residents buying apartments in the west of the city and there is no prohibition barring the city’s Jewish residents from buying or building in the east of the city,” Netanyahu added at the weekly cabinet meeting. “That is the policy of an open city that is not divided.”…