"How can we have a war on terror? Terror is a tactic not a country or a government"
Quite easily, believe it or not. The key to terror isn't what we do, it is what we WON'T do. They balance their violence carefully to ensure that it is just enough so any overreaction will receive negative play in the world. Sadly, we give a damn.
Look at Israel. Hezbollah won their recent little tiff if Lebanon. The world looked at the ongoing bloodbath and said "All that over three guys"? Granted, the world is generally ignorant of the constant harrowing crap Israel has to put up with, but then the terrorist groups count on that, too. What did they do? Pulled out defeated.
The way we combat that is by devaluing their ability to judge our reaction. They know beyond a shadow of a doubt that we won't invade Pakistan to catch bin Laden. They know that we won't risk the ire of other states by using nuclear weapons.
Look at Fallujah. We decide to get tough, we start cleaning the place out, it endangers talks elsewhere, we drag our shredded soldiers away. They knew we would, and they know next week we'll do it again. Had we leveled the city from 30k feet, they would have been taken aback and the next city might not have been so welcoming to the insurgency.
Terrorist groups are a loose collection of bad people, working under the tolerance of slightly less bad people, in communities full of ordinary people. If those other people knew with certainty that terrorism will provoke their doom, they'd hand terrorists over by the truckload. The day that world leaders say "Oh God, they might attack the US, and you know we are really screwed then", THEN we'll start winning the war on terror.
We have to poison their soil, and the only way to do that is by making sure that any soil that welcomes them is burned black and unfit for habitation. Harsh? Yep, but such wars are bloody, and over quickly. Fewer of our soldiers at risk, and their scars serving as a lesson for the future.
Basing your wars on public opinion only makes terrorism bloom, because that's their playing field.