Palestine (pălˈəstēn) [key], city (1990 pop. 18,042), seat of Anderson co., E Tex.; inc. 1871. It is a market, processing, and rail center for a rich oil area and for the truck crops, livestock, and other produce of the rolling red hills. It has meatpacking plants, and school supplies, crushed stone, aircraft hardware, and concrete are produced. The city has many Victorian homes.