The “market-state” is the latest constitutional order, one that is just emerging in a struggle for primacy with the dominant constitutional order of the 20th century, the nation-state. Whereas the nation-state based its legitimacy on a promise to better the material well-being of the nation, the market-state promises to maximize the opportunity of each individual citizen. The current conflict is one of several possible wars of the market-states as they seek to open up societies to trade in commerce, ideas, and immigration which excite hostility in those groups that want to use law to enforce religious or ethnic orthodoxy. States make war, not brigands; and the Al Qaeda network is a sort of virtual state, with a consistent source of finance, a recognized hierarchy of officials, foreign alliances, an army, published laws, even a rudimentary welfare system. It has declared war on the U.S. for much the same reason that Japan did in 1941: because we appear to frustrate its ambitions to regional hegemony.
This is a very useful framework by which to view the current conflict. It is also a natural compliment to Global Guerrillas -- the rise of the virtual state, its new methods of warfare, and its impact on the world is a subject of my work here. Luckily, Philip is a fan of this site and has sent me the manuscript for his new book: Terror, Can We Win This War (available for pre-order). It's a great read and required reading for those interested in how this epochal war is going to evolve over the next decades.