To follow up Nightmares of Capitalism, Pipe Dreams of Democracy, we present The Empire Has No Clothes, an overview of the factors we expect to shape the context of struggle in 2012. These include intensifying repression, the struggle for the internet, the crisis of legitimacy facing representative democracy, and the fault lines within our resistance movements themselves. We anticipate a new round of confrontations, more pitched than the last, and the stakes are only getting higher.