The Shrub as dictator thing will never happen, simply because at this point, Shrub is just hoping to ride out the last 18+ months of his term.
The only way that he could possibly pull this off, and I hasten to add that it wouldn't be successful, is if there were another series of 9/11 type events spread out across the country which in addition to killing thousands of people also managed to damage the infrastructure of the country in a major way, such as blowing up sections of I-10 or I-95. But even that wouldn't be very bad and wouldn't take very long to repair.
And the American people and Congress wouldn't stand for it.
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