I'm not sure what is "OUT-FREAKING-RAGEOUS"
Ok, the argument that the questioner was making was essentially "I don't like your policy." If that is the point she was making, what is Wolfowitz to infer from the out-in-left-field comment about the policies of administrations of yesteryear regarding Iraq?
Why would she dislike a policy that seems to be in line with her opinion of Iraq circa the 80s? Either she, for reasons untold, switched positions on Suddam's regime after the US change its policy towards Iraq, or she holds opinions that are contrary to her government's for the sake of being contrary. Without an explanation about her flip-flop on the Iraq issue, we can assume the second is true. Thus Wolfowitz' reasoned response, "It seems to me that the north star of your comment is that you dislike this country and its policies." She must hate this country.