Today he said:

"Which gives me confidence about the future in Iraq, by the way. You know, I hear people say, Well, civil war this, civil war that. The Iraqi people decided against civil war when they went to the ballot box."

What does "going to the ballat box" have to do with whether or not there is a civil war? 

Democratic elections do not negate the possibility or existence of a civil war, do they?

Yup.  We had an election, and that eventually led to a civil war:

Following the election of Abraham Lincoln in November 1860, the South Carolina legislature calls a state convention that convenes on December 17, and on December 20 approves a proclamation to remove the state of South Carolina from the union. The secession of South Carolina is followed by the secession of six more states — Mississippi, Florida, Alabama, Georgia, Louisiana, and Texas. Four additional states–Virginia, Arkansas, Tennessee, and North Carolina–delay acting on secession, but eventually join the others to make up the eleven states forming the Confederate States of America.

By the way, when Bush notes that "people" are talking about civil war, he’s intentionally overlooking the fact that those "people" are his commanders in Iraq.