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Well, 5 by 8 is a little big, and if it was put up to show support and not everyone supports it.. well, yeah, it's okay to take it down. If they were wearing a small flag pin or something, no, they're showing support on their person.
I may think war in Iraq is a dumb policy move, but there has always been an American flag in my office, and it isn't coming down.
It does sound as if Burton is pushing his "patriotism" in people's faces though, with the flags, tie, hat, etc. He could be a little more tactful in an office environment where many people have many differing viewpoints. At the same time, an American working in a government office should not be complaining about flying the flag.