The most likely scenario for a nuclear weapons exchange, IMO, lies in Pakistan. The Pakistani government is facing a ton of internal pressure, and there are realistic scenarios under which it could fall to extremists. Pakistan has roughly 30-40 nuclear missiles.
Now, if Pakistan falls, and nuclear weapons land in the hands of extremists, what does India do? They are already fighting over Kashmir, and it’s not far-fetched to presuppose that India might launch a pre-emptive attack on Pakistan.
If extremists gain control of nuclear weapons, and they know that their control is temporary, what do they do? Just sit on them? Or do they fire them all in a big blaze of glory against their enemies, including the U.S. and other Western powers? I don’t think Pakistan’s weapons have intercontinental range, but this is the type of scenario that has caused the Bush administration to lobby so hard for SDI.
Another risk of escalation comes from China. If the U.S. gets seriously embroiled in a major campaign in the Middle East, might China decide to use the opportunity to attack Taiwan? Then what?
And finally, there’s Israel. The Israeli government is under immense pressure to do something about the continual terrorist attacks, and it has lost patience with Arafat, who has been playing a game for decades in which he sponsors terrorist attacks against Israel until they are at the point where they are about to retaliate. Then he makes peace overtures, declares a cease-fire, and promises to negotiate a lasting peace. After everything has calmed down, he violates the cease-fire and starts killing Israelis again.
Last year, he was offered a phenomenally generous agreement - a Palestinian state, Israeli withdrawal from 97% of the occupied territories, and joint control over Jerusalem. This is the best offer he will EVER get, and everyone knows it. And he rejected it and the terror attacks started again.
So in my opinion, Israel is going to do something, and it’s going to do it fairly soon. It may be holding off right now out of deference to the U.S. to keep the coalition together, but certainly Israeli action of some sort is in the cards, and that’s going to change everything. Bush knows this, which is why this whole issue of the U.S. guaranteeing a Palestinian state has come up recently. He’s trying to defuse the situation. But don’t count on it.