Actually, I know this and this wikipedia entry. It's hard to for me to classify Iraq. For awhile they were another totalitarian state with ties to the Soviet Union. For awhile they were more in the US orbit. I guess that would put them in the 3rd world, though economically they have been in a different class than the poorest 3rd world nations.
I was thinking of terming them a "second rate power."
Yeah - Sorry I know its a bit nitpicky, because "second world" is pretty commonly understood in this way (to mean "secondary power"/"partially developed economy" etc.) but although common it is really a bit of a misuse of a word that has a very specific original meaning and I thought its probably worth pointing out to people (not just you) where the differences lie.
I was thinking of terming them a "second rate power."