As Russia's economy strengthens, so does its viewpoint


Russian President Vladimir Putin"Analogous actions by the Soviet Union, when it deployed missiles in Cuba, prompted the 'Caribbean crisis,'" Russian President Vladimir Putin said Friday, using the Russian term for the Cuban Missile Crisis, in reference to the United States' Europe-based missile defense plan.

Putin's statement that U.S. plans to put a Europe missile defense system in Poland and the Czech Republic can perhaps be best interpreted as a rhetorical overstatement before Putin negotiates new economic and political agreements with the West, particularly with Europe.

Russia's oil and natural gas resources, foreign currency reserves, commercial development and +5% annual GDP growth rate have enhanced the nation's negotiating stance, on both economic and geostrategic issues. Sensing his stronger hand, Putin has used the increased leverage to propose, among other measures, European economic/commercial agreements that would be more favorable to Russia, while also making clear that international political agreements among the U.S., Europe and Russia on such issues as the Iraq War, Iran nuclear technology -- and a potential European missile shield -- would also reflect Russia's concerns.
The Cuban Missile Crisis occurred when, in October 1962, Soviet General Secretary Nikita Khrushchev placed nuclear missiles in Cuba. The United States then imposed a naval blockade on Cuba with President Kennedy demanding that Khrushchev remove the missiles. The world teetered on the brink of war for about 12 days before Khrushchev backed down, chose to not challenge the U.S. naval blockade and removed the missiles. Historians and policy analysts view the crisis as the closest the superpowers came to engaging in a nuclear war during the Cold War period.

U.S. Secretary of Defense Robert Gates said he was unsure what to make of Putin's remarks Friday. Gates told Agence France Presse that Putin had reacted positively to U.S. proposals at a meeting in Moscow earlier this month.

Political/Economic Analysis: In this case, President Putin overspoke. Perhaps too emboldened by Russia's increased economic power, Putin has displayed a tendency to over-rhetoricize. Then, after being briefed by aides and/or recognizing that his comments were more serious than the point he intended to make, he usually clarifies his statement or modifies earlier points. True, Russia and the U.S. are at odds over many issues (Iran's nuclear technology, NATO, the pace and scope of Russia / Europe economic integration), but relations between the two powers are decidedly better than during the Cold War. Hence, view Putin's remarks as an overstated critique of a U.S. policy ahead of future Russia / U.S. / Europe talks.

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