Fred181, the classical sense of winning would be to annihilate an enemy. Nukes can do that. Political goals you'd achieve: destruction of your opponent.
If the US were to use nukes in Iraq or Afghanistan wouldn't always strenghten the will to fight, particularly if the rebels are *DEAD*... Throw enough nukes at a problem, and it'll go away. (Of course, there will be many more other problems that will spring up afterwards, but that's a different matter.)
As for terrorism being a threat: not really. In the end, the loss of life and property of terrorist attacks is still rather insignificant compared to traffic accidents and/or industrial accidents. If the terrorist attacks go up, some country out there will be supporting it, and there will be a high price to pay.
Terror isn't a war; if you want to compare it to anything, you can compare it to commando raids - on the whole, rather small in scope, but very high-profile, and occasionally very deadly.
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