The major problem for America is we're losing two wars. We're losing in Afghanistan, we're losing in Iraq. And there seems very little likelihood that we're going to increase the number of troops we have in either place to the point that we can prevail.

In terms of Iraq, al Qaeda valued Iraq because we destroyed a government it wanted destroyed and because we put soldiers on the ground and forces that they could attack. Al Qaeda is basically an insurgent organization that was formed on the model of the Afghan groups. And being bred in that war, they value a contiguous safe haven as much as anything else.

Well, there are certain pockets of improvement. The one that I think is most important is that state and local law enforcement levels have started to do a lot more educative efforts within their organizations to understand the kind of threat we're facing. They've given up on the federal level.

I think one of the most destructive things in terms of American security has been for all of our leaders, without exception in both parties, to identify Osama bin Laden as a gangster or as a madman, as an apocalyptic character who's out to destroy our civilization.

I think what history will show is that one of the most tragic results of the war in Iraq will be that although Sharon, the Likudites, the Neoconservatives in our country, President Bush and the Democratic party thought the war in Iraq and destroying Saddam would benefit Israeli security, we're seeing absolutely that the war in Iraq has probably put Israeli security in a more tenuous condition than it's been in since the founding of the Israeli state.

But more important, I think, is the criticism bin Laden has made publicly over the past 10 years that Muslim governments cannot even protect their own people. And more than that, they'll often collude with the infidels. And if you recall, the initial reaction of the Arab league was to criticize Hezbollah and damn Hezbollah for the war. And they eventually had to turn 180degrees and support Hezbollah.

There is a direct correlation between what al Qaeda says and what it does. And the one thing that has been the gold standard of correlation has been bin Laden's 1995 - or was it 1996? - pledge that every attack is going to be more powerful than the last. If you go back to the first attack in Yemen in 1992 and chart it out, every attack has been more powerful, more destructive than the last one.