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The hidden hand of the market will never work without a hidden fist. McDonald's cannot flourish without McDonnell Douglas, the designer of the F-15. And the hidden fist that keeps the world safe for Silicon Valley's technologies to flourish is called the US Army, Air Force, Navy and Marine Corps.

I think we're in the end game there, in the next three to six months, Bob. We've got for the first time an Iraqi government elected on the basis of an Iraqi constitution. Either they're going to produce the kind of inclusive consensual government that we aspire to in the near term, in which case America will stick with it, or they're not, in which case I think the bottom's going to fall out.

What I absolutely don't understand is just at the moment when we finally have a UN-approved Iraqi-caretaker government made up of—I know a lot of these guys—reasonably decent people and more than reasonably decent people, everyone wants to declare it's over. I don't get it. It might be over in a week, it might be over in a month, it might be over in six months, but what's the rush? Can we let this play out, please?

I was speaking out in Minnesota—my hometown, in fact—and a guy stood up in the audience, said, "Mr. Friedman, is there any free trade agreement you’d oppose?" I said, "No, absolutely not." I said, "You know what, sir? I wrote a column supporting the CAFTA, the Caribbean Free Trade initiative. I didn’t even know what was in it. I just knew two words: free trade."

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Like it or not, we are at war with the Serbian nation (the Serbs certainly think so), and the stakes have to be very clear: Every week you ravage Kosovo is another decade we will set your country back by pulverizing you. You want 1950? We can do 1950. You want 1389? We can do 1389 too.

No two countries that both have a McDonald's have ever fought a war against each other.... The question raised by the McDonald's example is whether there is a tip-over point at which a country, by integrating with the global economy, opening itself up to foreign investment and empowering its consumers, permanently restricts its capacity for troublemaking and promotes gradual democratization and widening peace.

We need to send the message that anyone who orders suicide bombings against Americans, or protects those who do, commits suicide himself. And U.S. marines will search every cave in Afghanistan to make that principle stick. You order, you die—absolutely, positively, you die.

Can Iraqis get this government together? If they do, I think the American public will continue to want to support the effort there to try to produce a decent, stable Iraq. But if they don't, then I think the bottom is going to fall out of public support here for the whole Iraq endeavor. So one way or another, I think we're in the end game in the sense it's going to be decided in the next weeks or months whether there's an Iraq there worth investing in. And that is something only Iraqis can tell us.

After two years of traveling almost exclusively to Western Europe and the Middle East, Poland feels like a geopolitical spa. I visited here for just three days and got two years of anti-American bruises massaged out of me. Get this: people here actually tell you they like America—without whispering. What has gotten into these people? Have all their subscriptions to Le Monde Diplomatique expired? Haven't they gotten the word from Berlin and Paris? No, they haven't. In fact, Poland is the antidote to European anti-Americanism. Poland is to France what Advil is to a pain in the neck. Or as Michael Mandelbaum, the Johns Hopkins foreign affairs specialist, remarked after visiting Poland: "Poland is the most pro-American country in the world—including the United States."

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The historical debate is over. The answer is free-market capitalism. Other systems may be able to distribute and divide income more efficiently and equitably, but none can generate income to distribute as efficiently as free-market capitalism.