The next U.S. president will face three key foreign policy challenges: setting a course for victory in the terrorists' war on global order, strengthening the international system the terrorists seek to destroy, and extending the system's benefits. With a stronger defense, a determined diplomacy, and greater U.S. economic and cultural influence, the next president can start to build a lasting, realistic peace.

China's environmental woes are mounting, and the country is fast becoming one of the leading polluters in the world. The situation continues to deteriorate because even when Beijing sets ambitious targets to protect the environment, local officials generally ignore them, preferring to concentrate on further advancing economic growth. Really improving the environment in China will require revolutionary bottom-up political and economic reforms.

The outcome of the North Korean nuclear saga has been held up as an example of the Bush administration defying its bellicose reputation and using multilateralism and diplomacy to defuse a crisis. But in fact, the story is one of extremely poor policymaking and a persistent failure to devise a coherent strategy -- with the result that North Korea has managed to dramatically expand its nuclear capability.