The US is failing in key three areas of the war:

-The US is still providing much of the security for the country and is grossly underpowered both financially and militarily to achieve this and in Afghanistan.
-The Iraqi government has been inefficient at best.
-Failing to rally up commitment amongst the 'Coalition'.

The first one I think is the most important. If the US would deploy large amounts of troops in the area, enough to protect the borders and quell the insurgency then there would be no problem. Prove that we can completely eradicate their leadership and prevent weapons from crossing the border.

Why are we not doing this? It is because of the American democratic sytem. What I am saying essentially is raise taxes, dramatically increase the size of the military, do the above plan and then once finished rapidly scale down the military and lower taxes. When we finish in Iraq and Afghanistan (save, us going into another war) we then pull back and redivert all of the 'War Energy' into developing alternative solutions.

__________________
I'll tell you this no eternal reward will forgive us now for wasting the dawn
Nothing to kill or die for and no religion too
You may bury my body, down by the highway side,
so my old evil spirit can get a Greyhound bus and ride.