The Gunners led by two goals at the break, with Gabriel making the breakthrough in the 11th minute, before an own goal from Dean Henderson doubled the home side's advantage.
Leandro Trossard then made it three in the 59th minute before Gabriel Martinelli struck a brace in the latter stages, with the result enough for Mikel Arteta's side to move above Aston Villa into third, two points behind leaders Liverpool.
Arsenal entered the match off the back of three straight defeats in all competitions, but they proved to be far too strong for a disappointing Palace outfit in North London.
Gabriel Jesus had a half-chance in the seventh minute of the match when the ball broke for him inside the Palace box, but the Brazil international's effort was always rising over the crossbar.
Arsenal did manage to make the breakthrough in the 11th minute, though, with Gabriel heading a corner from Declan Rice into the back of the net from inside the box.
The Gunners came close again from a set piece in the 14th minute with Jefferson Lerma's header going towards his own goal, but the woodwork came to Palace's rescue on this occasion.
It was all Arsenal, with another chance coming in the 21st minute when Bukayo Saka delivered a dangerous low cross towards Jesus, but Palace defender Chris Richards did well to make the clearance.
Palace's first real effort came in the 33rd minute, with Lerma striking towards goal following a poor kick from Gunners goalkeeper David Raya, but the Spaniard was able to make the save to prevent it from becoming 1-1.
Arsenal were able to double their advantage in the 37th, though, with Gabriel turning a corner from Saka into the back of the net at the far post, with the ball bouncing off Henderson and into the back of the net.
Palace wanted a foul on their goalkeeper, with Ben White backing into the Englishman, but it was allowed to stand following a check from VAR, and it went down as an own goal for Henderson.
Raya comfortably kept out strikes from Jeffrey Schlupp and Lerma late in the first period, with Palace struggling to make their mark in a difficult opening 45 minutes at the Emirates Stadium.
Rice tested Henderson with a strike early in the second period, before Raya kept out a long-range effort from Eberechi Eze down the other end of the field.
Arsenal had another chance in the 50th minute when Saka found Trossard with a clever ball inside the box, but the attacker was unable to get proper contact on his effort.
The Gunners continued to threaten the Palace goal, and the hosts had a penalty shout just before the hour when Gabriel Jesus threw himself to the ground inside the box, but it was rightly waved away.
Arsenal did manage to score their third in the 59th minute, with Trossard, who had been found by Gabriel Jesus, finishing into the back of the net following another fast counter-attack.
Saka sent one over the Palace crossbar in the 75th minute, with the hosts looking for more goals; the Eagles did have a half-chance in the latter stages through Richards, but his header was over the crossbar.
Arsenal then added a fourth in the final moments through Martinelli, who placed the ball into the bottom corner after being found by Eddie Nketiah, before the Brazilian scored again just before the full-time whistle to cap a miserable afternoon for the visitors.
Next up for Arsenal is a trip to Nottingham Forest on January 30, while Palace will be bidding to bounce back when they host Sheffield United on the same night.