States of Fantasy is Jacqueline Rose's striking contribution to the current controversy about the nature and limits of English studies. Why has relatively little attention been paid to Israel/Palestine and South Africa, both of which have the strongest historical and political links to Britain as well as to each other? What can these two arenas of historic conflict tell us about the limits of the literary imagination? What new imaginary worlds are being built in the present at the very moment when the literary institution attempts to shed the false dreams of the past?