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Outstanding review of the situation -- about the best I've seen. It is true that the insurgents are losing; step-by-step-by-step.

The "town by town" strategy is working and is on the Syrian border, which should be a warning to them. Retake a town/city/region from the fascists and then leave a caretaker Iraqi military unit for security. It makes sense; it is working.

If Syria is removed as a staging area, that leaves only the major metropolitan areas as hiding places for Sunni terrorists. At this point, Iran is better to remain quiet and allow the Shi'ite Iraqi majority to assume rule. Why destabilize that apple cart at this time? The Kurds have longed for some kind of federal/confederal separateness for generations; they are definitely on board. (And, many don't realize that they are also Sunni. Something that will counterbalance the Shi'ite majority in the future.)

How does one find terrorist staging amidst a major metropolitan area and excise it?

I'm not sure, but it would make sense eventually to have the best trained, most lethal Iraqi military units co-located with the metropolitan areas. Their natural knowledge of language, culture, customs combined with their ability to project power will enable their intelligence capabilities to overcome the insurgents in the long run.

All the while, these things will allow for a reduced American footprint. I smell victory.

The middle-of-the-road democrats will desperately search for some means of diverting credit for that success from the Republicans and from George Bush. If the midterm elections are held with ongoing success in Iraq as a centerpiece, the republicans will clean house.

The democrats will need to give that credit to someone else. Their best bet is to begin focusing on the new constitution, the Iraqi people, and the improving Iraqi military. I can hear it now, "blah, blah, blah...despite the bumbling of the administration, the Iraqis themselves are actually pulling a rabbit out of a hat...yada, yada.

When we hear that, then know that the dems smell victory in Iraq as well.