Putting aside for the moment the "terrorist regime" definition, let's take a look at what it means to be a "free nation."

Both Iraq and Afghanistan are racked by insurgencies and warlordism and dependent on US troops for what passes for security. Both countries are under martial law and their leaders are unelected US appointees. Both countries are squalid economic basket cases, with the vast majority of the populace unemployed--or, in the case of Afghanistan, cultivating opium poppies.