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US Foreign Policy Russia and the Ukraine Crisis Ted Gertner, Charles Watson, Courtney Misich, Amelia Peterson

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US Foreign PolicyRussia and the Ukraine Crisis

Ted Gertner, Charles Watson, Courtney Misich, Amelia Peterson

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The Ukraine Crisis and the United States

The Ukraine crisis began in November 2013 after the president of Ukraine, Viktor

Yanukovych and the government abandoned a trade deal with the European Union for a stronger

relationship with Russia. This resulted with demonstrations in Kiev to protest the government’s

decision to move away from the European Union and closer to Russia. As the international

community watched, in February clashes between protestors and police were the bloodiest since

the beginning of the crisis. Additionally President Yanukovych disappeared, allowing for the

protestors to seize control of government buildings. The trigger for outside involvement is a

result of the Ukrainian parliament coting to remove the president from power and banning

Russian as the second official language which creates upheaval in the Eastern regions of the

country. In the Crimean capital, pro-Russian insurgents take over government buildings and the

Crimean parliament votes to join Russia through referendum.

As Crimea is annexed to Russia, the European Union and United States condemn the

actions by Russia, who admits their military helped to gain control of Crimea before the

referendum. The United States views Russia’s actions as aggressive and as reports of Russian

troops helping separatists in Eastern Ukraine continue, the United States explores its options to

continue the buffer between the East and West while maintaining Ukraine’s sovereign territory.

American interests in Ukraine begin with its independence from the Soviet Union. This

relationship has developed into one of Ukraine buffering Russia and the United States’ provides

financial aid and security. However the complicated nature of the crisis forces the US to evaluate

its investment into Ukraine and how to negotiate with Russia while maintaining American

authority in the international community. This proposal will engage with the causes of the

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Ukraine crisis, the options available for the United States, and how the US should deal with the

crisis and Russia.

A Historical Union between Russia and Ukraine

By Courtney Misich

Russian and Ukrainian identities are mixed throughout the past, from claiming the

Kievan Rus as common ancestors to the collapse of the Soviet Union. The conflict that results

from the close connections between the two countries influences international policies and

actions. Ukraine has been dominated by Russia since the seventeenth century with greater

control over the country during the twentieth century by the Soviet Union. The crisis forces the

confrontation of Ukraine’s deep national issues and its long history of suffering that created the

crisis between the East and West. While the United States is a recent actor in the conflict

between Ukraine and Russia but US involvement in the conflict could provide greater cause for

Russian influence in the region or would allow for Ukraine to remain sovereign and whole.

America’s stake in Ukraine focuses on buffering Russia and preventing the precedent allowing

Russia to begin reclaiming territory. The United States has agreements with Ukraine promising

to help maintain its sovereignty, which involves the US in the Ukraine crisis. However the

origins of the crisis are old and stem from their historical ties of Russia and Ukraine and the

divide of the East and West for influence in the region.

Ukraine’s Relationship with Russia and the United States

Ukraine was a republic in the Soviet Union, while the republic technically retained

certain rights, but ethnic Russians ran it and repressed its national identity. During the Soviet

period, Ukraine was “fundamentally transformed… experiencing extensive industrialization,

urbanization, and wider social change” (Kubicek 100). The transformation of Ukraine created

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many problems within the country such as famine, loss of culture and language, and purges. The

loss of life in Ukraine from these problems were great, an example is the Holodomor or the Great

Famine of 1932-1933. The Soviet government “forcibly seized grain and other food from

Ukrainian peasant households…for political and ideological reasons” (Kubieck 102). The

Ukrainian collective memory is of the Soviet government starved the Ukrainian people into

submission and rationalized it through collectivization and industrialization; regions in Southern

Russia effected were heavily populated by ethnic Ukrainians. Then during the 1950s, hundreds

of thousands of Ukrainians were deported because Stalin “wished to treat Western Ukrainians in

the same manner as the Tatars” (Kubieck 112). Ukraine’s eastern and western territories were

united after the Second World War; the West was ruled by Poland before the war. Eastern

Ukraine was industrialized by the Soviet Union and continues to have close ties with Russia.

Crimea was transferred to Ukraine in 1954 by Khrushchev. The region has a majority of ethnic

Russians since Stalin expelled the Tatars. This split within Ukraine of the West, East, and

Crimea is a legacy from the Soviet days. As Paul Kubicek states “identity- Soviet, Russian,

Ukrainian, or some sort of mix- remained split and increasingly regionalized, a phenomenon that

would manifest itself both during the push for Ukrainian independence and in post-Soviet

Ukraine” (115). Ukraine continues to deal with these problems through state-building,

democratization, and creating a coherent national identity.

Post-Soviet Ukraine needed to partake in intensive state building to create a modern

nation state out of a Soviet republic with internal divisions. Ukraine’s first president, Leonid

Kravchuk, worked on building strong state institutions. The Ukrainian military was a

problematic institution since it was the former Soviet military. This created tensions with Russia

and the West with Ukraine’s refusal to hand over assets of “nearly 200 nuclear armed missiles

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stationed on Ukrainian territory and how to divide the Black Sea Fleet, which was based in

Crimea” (Kubicek 142). Ukraine’s desire to maintain its freedom of action can be seen in this

refusal, especially with the attempts to separate Ukraine and Russia because of Russian

politicians calling for Ukraine to stay with Russia. However this state building during the 1990s

was not completely successful with faith in the institutions lost and power centralized within the

presidency that grew with President Leonid Kuchma. During his presidency, Ukraine suffered

from crony capitalism and more authoritarianism with tighter controls on the media and less

competitive elections.

Another state building problem was the internal divisions in Ukraine, mainly the

separatist movement within Crimea which gained some autonomy in the early 1990s. Crimea’s

autonomy was taken away in 1995, when “the Ukrainian Parliament voted to suspend Crimea’s

constitution, abolish the post of the Crimean president, and placed the Crimean government

under the control of the national government” (Kubicek 153). However the separatist movement

only adds to the East-West divide in Ukraine; this is seen in the voting where the East favors the

old Soviet system and the West democracy. This division is seen in Ukrainian foreign policy

where the state tries to balance its connections to Russia and the West.

Many Russian politicians still view Ukraine as part of their country. This pushed Ukraine

closer to the West to balance out Russian influence but not until 1994 did Ukraine begin to

develop that relationship, which was difficult due to the political situation of Ukraine. The closer

relationship with the West was a result of the Budapest Memorandum, which President Kuchma

arranged, that recognized Ukraine’s sovereign borders by the West and Russia in exchange for

Ukraine giving up nuclear weapons and allowing for the Black Sea Fleet to be divided. Russia

used its resources to maintain tighter control over Ukraine, who benefited from Ukraine’s bad

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relations with Western countries. However in 2004, the political dynamics of Ukraine were

rattled with the Orange Revolution a result of “Kuchmagate”; President Kuchma’s abuses of

power were revealed through audiotapes. The Orange Revolution developed from the

presidential elections after Kuchmagate, which pitted Kuchma’s chosen successor, Viktor

Yanukovych, against reformist, Viktor Yushchenko. After a dirty campaign by Yanukovych, in

which Yushchenko was poisoned and election fraud, protests resulted from the announcement of

Yanukovych as president. The protests are known as the Orange Revolution and were supported

by the West. As the elites of Ukraine realized that protests and international attention were not

dissipating, a new election was held and after heavy monitoring, Yushchenko was elected

president. The Orange Revolution leaders were divided once in power. Yulia Tymoshenko and

Yushchenko disagreed on many issues which allowed Yanukovych to return to power as prime

minister in 2006. Yanukovych became president in 2010 and led into the Ukrainian crisis in 2013

due to prosecution of former ministers and abandoning a trade agreement with the EU.

Russia’s Historical Investment in Ukraine

Russia’s involvement with Ukraine is complex; however the collapse of the Soviet Union

in 1991 added greater conflict to this situation. Chechnya declared independence also in 1991,

and Russia used their military to maintain what is viewed as its territory. This stems from

Russia’s historic internal conflict of being an Eastern or Western country that makes the country

suspicious of the West, this sentiment disappeared after 1991 but returned as a result of US

actions and policies. After the collapse, Russia resumed the responsibilities of the Soviet Union

in international institutions, the lifted the command economy created oligarchs and hyper-

inflation within Russia. The mass privatization of Russia was based on democratizing the

country according to American economists and International Monetary Fund , however

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privatization created the oligarchs allowed for them to make “their money by exploiting

loopholes in the laws, by fraud and stealing, and by exploiting political connections” (Duncan

279). Many countries provided money and support for Yeltsin as seen through his ministers and

the amount of support Yeltsin had. Then in 1993, President Boris Yeltsin silenced his critics in

Parliament by shelling the building, this begins the consolidation of presidential power in Russia

as seen by the referendum passed in December 1993 that gave power presidential powers.

Yeltsin gains further prestige by gaining entry into the G-8 due to his friendship with President

Clinton, who supported him without much criticism during the Chechen War in 1994. However

this relationship between the United States and Russia began to sour with the campaign in

Yugoslavia, marking the beginning of differences in the United States and Russia’s foreign

policies. This affects the US-Russian relationship in 1998, when a Chechen militia entered

Russian territory; however the international community was shocked by the brutality of the

Russian’s campaign against the Chechens. The United States didn’t openly criticize the war and

Russia’s actions but the troubled relationship between the US and Russia was seen by the lack of

US support. When Yeltsin left office in 1999, Russia was stable with a growing economy, and he

appointed the hero of the second Chechen war Vladimir Putin as his replacement.

In 2000, Putin wins the presidential election and begins to consolidate presidential power

and demonstrate Russia’s prestige. Putin began by ending independent media and dismissing

Yeltsin-era oligarchs such as Mikhail Khodorkovsky, an oil oligarch, from politics. His

separation from Yeltsin adapts the Russian government to allow for greater control by the

president and “the phrase ‘managed democracy began to be refer euphemistically to Putin’s

growing authoritarianism” (Duncan 282). The managed democracy or as other have called his

government “a dual state,” Putin has goals for his consolidation such as “to enhance state

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capacity…by reducing the power of autonomous power clusters…the elimination of alternative

source of rule enforcement”(Sakwa 193). The dual state or managed democracy provides for

Russia a political consensus, which is lacking in Ukraine, and demonstrates how actions are used

to preserve that consensus and power. Putin used government agencies to further consolidate

Russia. This is shown by the lack of opposition parties in Russia; Richard Sakwa argues that

“reconstruction of the party system was the destruction of ‘party substitutes,’ notably regional

agglomerations. The regime ensured that the remaining parties offered no threat to its claimed

managerial prerogatives, including even the putative ‘party of power,’ United Russia” (193).

This permits for the president to act with great autonomy that allows Putin to act with greater

authority because of his political consensus. Further consolidation of power is seen in 2004,

when Putin used a hostage situation by Chechens to increase state security powers and later

making regional governors into appointees. Putin further consolidated his control in 2006 with a

law that allows for NGOs’ activities to be monitored and the organizations suspended, if they

pose a threat to national security. The consolidation is Russia protecting its security by

eliminating internal threats such as the media and external like NGOs.

Georgia confronted this idea of a strong Russia in 2006, when they held four Russian

army officers on suspicions of spying. This was already a tense time because of issues over

Georgia’s ties with NATO and splinter regions. NATO causes problems with Russia since its

purpose is to contain or oppose Russia. In response, Russia imposed sanctions and expelled

Georgians from Russia. As Russia’s relationships with the West deteriorated, Putin’s control on

the country is solidified even with allegations of tampering with elections causing Russia’s

democracy to be diminished. Putin’s presidency ended in 2008 and Dmitry Medvedev, Putin’s

ally, was elected to replace him. As Putin became prime minister and dealt with Georgia

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attempting to retake South Ossetia, which leads to the independent states of South Ossetia and

Abkhazia. This action creates more strife between the United States and Russia, which the US

views as Russia of attempting to annex the states as would happen in Crimea. Additionally in

2008, Parliament votes to extend the next president’s term to six years. Russia’s relationship with

the America warmed during Obama’s first term in office with the United States helping Russia

join the World Trade Organization and increased talks of nuclear reduction.

After Putin’s re-election to president in 2012, there were major protests against the

legality of the elections and there was a greater repression of dissent, such as with NGOs. The

silencing of dissent continued with the restructuring of new agencies, arrests of bloggers and

musicians, and greater restrictions of NGOs. Russia’s relationship with the West deteriorated

further when Ukrainian President Yanukovych fled to Russia because of protests in Ukraine over

EU connections and repression of officials. Russia used the Ukrainian protests and revolution to

annex Crimea, mostly ethnically Russian, in a referendum by Crimea. This reinforced the idea of

uniting all ethnic Russians, “this can only be done by enlarging Russia’s borders, leading to

conflict between Russia and its neighbors” (Duncan 289). This provided Putin a reason to annex

Crimea due to the large number of ethnic Russians and the political turmoil in the Ukrainian

state.

Throughout 2014, Russia has been accused of supplying Eastern Ukrainian rebels with

weaponry or that the rebels in Eastern Ukraine are actually Russian troops because of their

uniforms and weaponry. In July, the EU and the United States increased the sanctions on Russia,

which is affecting their economy greatly. The situation is constantly changing with more

restrictions in Russia, Ukrainian separatists gaining more territory, and the Russian economy

weakening.

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After the annexation of Crimea by Russia, the Eastern Ukrainian regions began to have

pro-Russia or separatists movements that are believed to be supported by Russia. Several

regions, like Donetsk and Luhansk, have had referendums and have declared themselves

independent but the United States fears continued annexation by Russia because of their troops

on the border. During May 2014, Ukraine elects a new president, Petro Poroshenko, and begins

to work towards peace in Ukraine. However the context changed when a Malaysia Airlines flight

was shot down in Eastern Ukraine creating further conflicts between Russia and the West. This

allows the West to place harsher sanctions on Russia as a form of pressure, especially with

accusations of Russian troops fighting with the separatists. Then on September fifth, Minsk 1 is

signed as a cease-fire but only lasts four days. A second cease-fire is agreed to on February 12,

named Minsk 2 with weapons withdrawals but several issues not settled. The US needs to focus

on integrating the separatists into Ukraine and rebuilding Ukraine’s sovereignty without

threatening Russia by invading its sphere of influence.

The conflict between Ukraine and Russia has a long history based on centuries of Russian

domination. The collapse of the Soviet Union created uncertainty and strained relations between

these two countries. The West’s role in the relationship is just as complex but Russia views

Western interference as a threat and creates problems for US policymakers, which was only

reinforced after 1991 for Russians. As the crisis continues, the West and United States need to

understand Russia’s disillusionment with Western ideologies and Ukrainian divisions.

Economic Background

The economies of both Russia and Ukraine have been anything but stable since the

conflict in Ukraine. Russia was experiencing an economic downturn when the conflict in

Crimea started in March 2014, but since then, the situation has become worse. A perfect storm

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of economic problems have hit Russia and the financial crisis is a troubling sign. The crisis, in

fact, extends beyond the Russian border into Ukraine. Both Russia’s and Ukraine’s respective

currencies are performing poorly against the dollar and the euro (IMF). Especially since both

economies are unstable, it is important to understand the reasoning for both recessions before

any policy can be enacted. Before the United States government can choose a policy and to

address the problem of the conflict in Eastern Ukraine, the government needs to understand the

economic issues within each country to prevent any further problems for the United States within

the region. This section will look at both economies individually and what has caused their

respective crises.

Since 2014, Russia’s economy has found itself in a troubling position. Looking at current

figures demonstrates the problem the Kremlin faces. Inflation rates are rising, the ruble is

depreciating in value, investment rates reached a 15-year high in January, and the GDP has

stopped growing (EIU). All of these problems have stemmed from two main economics issues

that Russia has faced since 2014: the drop in crude oil prices and the economic sanctions against

Russia (Economist, Dec 17, 2014).

In 2014, crude oil prices dropped by about 40%. By the end of 2014, the price had gone

from over $100 per barrel in the summer to around $55 by the end of the year (NASDAQ). The

prices have continued to fall 2015. As of May, the price has reached $61.98 per barrel, a

shocking decrease in value (NASDAQ). Crude oil is an important component of the Russian

economy since over half of their export revenue comes from the sale of oil and gas (EIA). Since

this revenue has decreased significantly over a short period of time, Russia finds itself in a

recession. The worry for Russia is that they cannot simply fix the oil price problem by selling a

higher quantity since they are producing near or at their limit. The Russian economy has spent a

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large amount of effort on developing their oil and gas industry while neglecting other sectors

which leaves the economy dependent on high oil and gas prices. This is due to the fact that

exports account for about 30% of the GDP and oil and gas are the main export from Russia by a

large margin (EIU). The current outlook is grim as well since the prices have not shown signs of

rising to the level that Russia would need for a balanced budget (Economist, Nov 22, 2014).

The other factor contributing the financial crisis in Russia is the economic sanctions

enacted against Russia by the United States and the European Union. These sanctions were

enacted in response to the Russian involvement in Ukraine. The sanctions targeted certain

individuals initially followed by Russian banks and firms. Both types of sanctions have hurt

Russia, but in different ways. The individuals who face sanctions have been given travel bans

and their assets abroad have been frozen (U.S. State Department). Many of these individuals are

wealthy allies of Mr Putin who live in lavish mansions throughout Europe. However, they have

had to leave the EU since the sanctions have forced them out. This has the ability to cause

tension in the hierarchy of the Kremlin (Economist, Jan 31, 2014).

The other form of sanctions has had the largest effect on the Russian economy. The

sanctions against businesses and banks have prevented these entities from conducting in bond

and stock market activity abroad (Mohammed & Trott). The main issue is that they cannot

purchase or sell foreign securities. Since they cannot sell securities, the companies and banks

cannot roll over their existing debt. In other words, they have to pay off their matured debt with

the existing investment obligation. To do so, however, they must exchange their rubles for

foreign currencies. Since the banks and companies needed to get rid of their rubles, the demand

for the ruble lowered. Thus, the ruble depreciated in value, which is one of the key components

of the current financial crisis (Albanese & Edwards, 2014).

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The Russian people have started to lose faith in the ruble. It has reached the point where

Russians have spent their rubles on less liquid, but safer goods (Kramer). When a currency

depreciates in the way that the ruble has, there are a few likely outcomes. Usually, exports in the

country are cheaper for foreign consumers. However, that is holding price constant, which is

unlikely given the sanctions. The Russian firms would be unlikely to keep prices constant when

the currency drops in value by as much as the ruble has since inflation is inevitable. Conversely,

imports, which include mainly manufactured goods, become more expensive when a currency

depreciates in value. This has been observable in Russia as many foreign companies have

suspended business in Russia due to low demand. The ramifications of the collapse of the ruble

are yet to be completely seen. The cost of interest payments for Russian firms has increased

since they must pay foreign investors in foreign currencies. Although the ruble has shown signs

of slight recovery lately, the crisis is far from over and could get worse if the problem is not

solved (EIU).

With a depreciated currency comes higher inflation rates. Currently, the inflation rate in

Russia is 16.9% meaning the prices of goods in Russia has increased on average by 16.9%

(World Bank). However, certain food prices rose by 50% near the end of 2014 (Fabrichnaya &

Winning). While inflation at such levels is never a good thing, it is hard to know what the

impact will be on the country. Russian companies face difficulties as there will be market

inefficiencies and their ability to operate with long-term goals is hindered. Since inflation comes

with the volatility of the ruble, it does not aid the confidence in the ruble. This means that

investment and saving will decrease as people will continue to lose faith in the ruble. Although

the Kremlin faces a crisis currently, the Russian government can make alterations to aid recovery

(Economist, Dec 17, 2014).

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The Russian government had to show their own faith in the ruble since no one else

would. Hence, investment rates increased dramatically to potentially help stabilize the ruble.

Currently, the interest rate stands at 12.5%, but rose as high as 17% in December 2014 (IMF).

However, the hike in the interest rate did not succeed in halting the fall of the ruble. Since

higher interest rates have not solved any economic issues for Russia, there are very few things

the Kremlin can do with monetary policy to fix the issue. However, it is important to note that

when the Kremlin announced they would not be implementing capital controls, the ruble

appreciated in value slightly (Birnbaum, 2014).

Overall, the crisis highlights the poor economic policies instituted under Mr Putin. He

has stated correctly that the price of oil will go up as it always does when the price drops. This

will eventually happen and Russia will experience a recovery. However, Russia does not seem

to address the issues at the root of the problem. During the 1998 crisis, Russia failed to end its

reliance on oil and gas prices. If Russia had done so, the current situation would not be as bad.

The necessary element needed in Russia is a renewed manufacturing sector to help alleviate the

pressure on the energy sector. Mr Putin’s comments show that restructuring will not come to

Russia meaning their economy seems to be reliant on oil and gas for the near future (Economist,

Dec 17, 2014).

Currently, the trade between Russia and the West has declined dramatically, but they do

play an important role in global trade in general. The top Russian export is crude oil, which

accounts for 39% of its total exports. The second largest is refined petroleum meaning that over

half of Russian exports are natural energy resources. Most of Russian exports tend to be raw

resources some of which Russia is the top exporter in the world. On the other hand, Russian

imports consist of mainly manufactured goods, such as cars, medicine, computers, and

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communication equipment. With the financial crisis and the sanctions, Russian trade has

lowered significantly since the cost of importing goods has risen due to the collapse of the ruble.

The leading destination for Russian exports in 2014 was the Netherlands, however, they are

unlikely to be the top destination in 2015 given the sanctions imposed by the EU. The

Netherlands accounted for 13.8% of Russian exports in 2014 while China had the second highest

percentage of Russian exports at 7.6%. Ukraine receives 3.5% of Russian exports. As for

importers, 29% came from China and Germany combined in 2014. This shows that the EU plays

a key role in the Russian economy, however, China’s presence demonstrates that Russia does not

solely rely on the EU. America is the 6th largest importer to Russia accounting for 4.1% of

Russian imports. Ukraine is the third largest importer with 5.5% (WTO).

From the trade data, it is clear that Ukraine plays a role in Russian trade policy. Russia is

Ukraine’s biggest trade partner by a large margin. Russian exports to Ukraine account for 31%

of Ukrainian imports. For exporting, Ukraine sends 24% of their total exports to Russia.

Ukrainian exports tend to be unfinished goods with their main export being semi-finished iron.

Their main imports are gas and petroleum most of which is imported from Russia. This adds

another layer of complexity to the Russia-Ukraine conflict since Ukraine is reliant on Russia for

trade (WTO).

Economically, Mr Putin has a stranglehold on Ukraine as Russia could cause blackouts

throughout the country since Ukraine is dependent on Russia. Ukraine’s reliance on Russia has

reached the point where Ukrainian Prime Minister, Arseniy Yatsenyuk, has admitted that they

lack complete independence from Russia. This is mainly due to the energy issue between the

countries. Although Ukraine was the main energy producer in the Soviet Union before the

eventual collapse, the big energy firms have failed to capitalize since Ukraine became

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independent in 1991. Now Russia has become the Eastern European giant in energy and this is a

problem for Ukraine since Ukraine imports about 80% of their gas and most of it comes from

Russia. The energy corporations in Ukraine have a tendency towards corruption leading to poor

decision-making. The state-funded gas company, Naftogaz, has cost the Ukrainian government

much money, including $6.4 million in 2014 to keep the company from going under (Economist,

Mar 5, 2014).

Obviously, the crisis in Eastern Ukraine has not helped their economic frailties. The goal

for the government is to lessen Russia’s economic influence over them, however, key areas of

Ukraine’s territory are now in Russian control. Eastern Ukraine, especially the area near

Donetsk, is rich with coal (WTO). However, this is now under rebel control and creates more

reliance on the Russian government. To make matters worse, the domestic economic situation is

not good in Ukraine. The hryvnia, the currency of Ukraine, has depreciated in value to almost

1/3 of its value at the start of 2014 (IMF). Unlike Russia, the Ukrainian central bank has instated

capital controls that have not succeeded in slowing the downfall of the hryvnia (Economist, Feb

28, 2015). Inflation is at 45.8% currently and there is no indication that the inflation rate will fall

anytime soon. As another attempt to salvage the economy, interest rates are at 30% (IMF).

Ukraine is facing a recession currently that cannot be ignored. The debt-to-GDP ratio is

41.03%. If Ukraine were to have to make repayments soon, it is likely that they would have to

default. The IMF has pledge to help, promising $40 billion over the course of four years. This is

a nice gesture, but it is an empty promise at the moment. The IMF does not have that type of

money. The rest of the money will need to be donated. The American government has pledged

$2 billion already while the EU has pledged $2.1 billion. However, this plan, if implemented,

will only soften the economic blow to Ukraine as it is estimated that this year alone, Ukraine

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would need $15 billion to close the financial gap (IMF). Clearly, there needs to be a more long

term solution for Ukraine as their economy is in shambles.

Ukraine’s economic issues stem from a history of poor policy going back to the country’s

independence in the 1990s. Over that time, Ukraine has become 20% poorer. Some of that is

backlash from the ill-timed privatization of state-run industries that created a small group of

wealthy oligarchs who received most of the money within the industries. However, by the turn

of the century, the economy had stabilized, but there were no reforms. For example, the state-

funded gas company, Naftogaz, still receives government subsidies. The subsidies allow

Naftogaz to offer extremely cheap prices relative to foreign prices. The issue is that the

subsidies are given even though Naftogaz is inefficient with their production since Ukraine has

the 26th largest amount of natural gas reserves worldwide, but still imports most of their gas. The

IMF offered a bailout plan to Ukraine in 2011 with the condition that they must end the subsidies

and raise the level of competition. Ukraine refused to reform their policy, even though their debt

rose and has now reached $126 billion. With monetary policy, the government has been

reactionary. The central bank responds to any depreciation of the hryvnia to keep it stable in

relation to the dollar. However, the hryvnia has been falling since 2011 and the central bank’s

reserves have dropped by almost $30 billion in that time. Supporting the currency is not exactly

the issue, but wasting over half of the central bank’s reserves when the money could have been

used for reformation was poor policy. Unfortunately, now the government cannot make reforms.

When reforms are made, the government usually takes a hit with lower tax revenue. Ukraine can

simply not afford restructuring at the current moment.

Beyond this, the biggest problem for the Ukrainian economy is corruption. This is a

political issue as well, but obviously there are economic impacts. For example, the Ukrainian

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shadow economy is one of the largest in the world with around 50% of the GDP. The main issue

economically for Ukraine with respect to corruption is that they cannot collect their taxes.

Businesses will pay employees with cash while some operate underground which leaves the

government short on revenue. To prevent further expansion by Russia, the United States

government will need to look at options concerning the Ukrainian economy as their situation

makes them much more vulnerable to invasion since they cannot fund a war. (Economist,

Zinets, Transparency International).

Russian Geography

Russia is the largest nation in the world spanning 17,098,242 sq km with 11 different

time zones (CIA, 2015; National Geographic, Russia). This land and water areas contains a vast

array of natural resources, the most important of which is oil. Russia has the tenth largest

population, containing a wide diversity of ethnicities, religions, and languages. This land,

resources, and peoples makeup Russia’s geography and provide much information on Russia’s

political and economic global positions.

Russia’s physical geography consists of a land mass nearly two times that of the US,

nearly every kind of climate, and an enviable amount of natural resources. Its size and resources

greatly affect its interactions with other nations. While Russia’s physical geography is very

diverse, most of the landscape consists of plains. The largest are the European Plain and the

Central Yakut Plain (Embassy of Russia Federation in New Zealand). The European Plain,

otherwise known as the Volga River Plain, is located on the western side of Russia, beginning at

the Ural Mountain Range and continuing to the western borders of Western Europe. This

specific land area is considered the European side of Russia, while anything past the Ural

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Mountains is Asian Russia (Embassy of Russian Federation). The Central Yakut Plain begins at

the Mid-Siberian Plateau, and is located between two of Russia’s many rivers, the Yenisier and

the Lena (Embassy). Central and southern Russia also consist of a mix of terrains ranging from

marshes and fertile land areas to steppes and coniferous forests. Many of these forests can be

found in the Siberian taiga (The Geography of Russia). These coniferous forests merge with

mixed forests expanding east, and come to consist of 40% of Russia’s land, providing a large

amount of timber resources (Embassy). These forests are located south of the Siberian tundra,

which can be found in the far north of Russia, and because of its freezing temperatures there is

very little growth there and few people as well (The Geography of Russia). Another aspect of

Russian physical geography are the mountain ranges and rivers. Russia has several mountain

ranges mainly located along the southern borders (CIA). There are more than 100,00 rivers in

Russia, most of which empty into the Arctic Ocean (World Atlas; Embassy).

The Russian climates are just as varied as the Russian geography. The only climate type

Russia does not contain is the tropical rainforest (Etty, Russia's Climate and Geography). Most

of Russia has a continental climate, which is not particularly helpful with Russia’s agriculture

due to the short harvest periods (Embassy). These climates greatly affect Russia’s agricultural

resources and what imports are necessary for the Russian people.

Russia’s size and climate has provided some advantages for the nation, most importantly

massive natural resources reserves. While Russia may not be ideal for agriculture, the land

comes with many other benefits in the form of these natural resources: timber, oil, natural gas,

coal, minerals, and other earth elements (CIA). Russia’s energy reserves are what causes the

most interest for political and economic relationships from other nations, especially the US.

Russia produces 20% of the world’s natural gas, making it the second largest producer of dry

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natural gas and third largest producer of liquid fossil fuels (Energy Information Association;

Etty, Russia’s Climate and Geography). For Ukraine particularly, Russia provides at least half

of Ukraine’s gas, which has created difficulties for Ukraine during the Ukraine crises (Ahmed,

Ukraine Crisis Is About Great Power Oil, Gas Pipeline Rivalry). Nearly 35% of the EU’s oil

comes from Russia, as well (Kennedy, Ukraine Crisis Highlights Europe's Dependence on

Russian Energy). The main areas of fuel reserves are Western Siberia, the Ural Mountains, and

East Siberia. Western Siberia produces two-thirds of Russia’s liquid fuel, and is being improved

to increase efficiency and production levels (EIA). The Ural Mountains was at one-point the

largest oil producing reserve before Western Siberia. It produces 22% of Russia’s liquid fuel, and

is likely to continue production until 2030. East Siberia oil is dependent on the Eastern Siberia-

Pacific Ocean Pipeline, which allowed for an easier passage of the Eastern Siberian oil. These

areas are the largest and most important fuel reserves in Russia, and account for the majority the

oil being discussed and regulated in Russian geopolitics and petro-politics (EIA).

Since Russia provides such a large amount of fuel to the rest of the world, they gain a certain

type of power in the global community. The Russian government uses the vast amount of fuel

resources to strengthen their global power, more specifically Putin’s regime (AEI). In relation to

the US, Russia comes in behind in all oil production while sending 80% of its crude oil to the

Americas, but oil is such an important commodity and provides such political power that the US

cannot ignore Russia’s resources (Aron, The Political Economy of Russian Oil and Gas; EIA).

At the moment, Russian oi centered relations with the U.S. seem to be strained, because it

appears that the U.S. and Saudi Arabia, the two largest fuel producers in the world, may have

conspired to create a price war with Russia over the price of oil in order to gain the upperhand in

petro-politics (Nazemroaya, Oil Prices and Energy Wars: The US Empire of "Frack" versus

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Russia). While the intense influx of oil from Saudi Arabia may hurt the U.S. shale industry, the

U.S. is more interested in pushing Russia out of the market in order to pressure Russia’s

geopolitical actions in terms of the Iranian nuclear program and the crises in Ukraine. It also

benefits Saudi Arabia in the capturing of the Chinese oil consumption, because Russia has taken

some of Saudi Arabia’s business in China (Spegele). This theory that Saudi Arabia and the U.S.

are working together to bring down Russian oil is not necessarily cohesive with the idea that

each nation is solely looking out for its own best interests, though. It is certain though that the

U.S. has condemned Russia's crises with Ukraine, which has lead to a less stable economy for

Russia, especially with the sanctions in place by the US (Spegele).

The U.S. has a booming fracking production industry, and is currently scaling back on its

purchases of fossil fuels from other nations (Spegele). This is leading many oil producing

countries to look to China for possible export partnerships. With China’s growing economy and

large demand for oil, it is the next best nation to export to and expand within that market.

Russia’s friendship with China has lead to China’s increased importation of Russian oil, a

misfortune for the Organization of Petroleum Exporting Countries (OPEC) looking to export to

China. The Russian government felt it necessary to strengthen ties with China, especially

economic ties, because of the West’s condemnation of the Ukraine situation and the sanctions

involved (Spegele).

Russia’s size and climate provides several disadvantages for the nation, including lack of

agriculture and difficulties governing the population. The lack of agriculture is such a prevalent

problem due mainly to the small amounts of geographical areas that have soil and climate that

can provide a sustainable growth period. The marshlands don’t sustain crops, and the Siberian

tundra does not allow for human life let alone profitable agriculture (Etty). Most of Russia does

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not have soil that is suited for crop growth (Embassy). The best places for agricultural

production can be found in the steppe climatic zone in southeastern European Russia and the

Western Siberian Plain. These steppe locations have black-soil, otherwise known as black earth

(Etty). This black soil is the most nutritious type of soil for agriculture, and can yield much

healthy vegetation. While Russia does have these black soil areas, the harvest season is much

shorter than Western Europe, spanning only six months rather than nine, and because of this

short harvest period, all farming had to be done intensely and purposefully. These agricultural

struggles have historically caused many problems with food shortages, lack of motivation by

farmers, and governmental issues (Etty).

Historically, the trials that Russians faced to produce enough food both for their families

and the market affected their outlook on farming and on Russia as a whole. The lack of fertile

land outside of the black-soil areas and the droughts that plagued Russia during the planting

season created an obstacle for Russian farmers. They couldn’t grow enough crops, and began to

stop putting in the effort (Etty). Instead of continuing this cycle of farming alone with little

yield, farmers chose to join with other farming families and farm the land together. While this

method did not assist with the agricultural problems, it did inspire Stalin’s collectivization

program in the 1930’s which led Russia to become an industrialized nation. This industrialization

had been long needed in Russia, but the harsh geography had suppressed it because of the lack of

infrastructure and great distances and climates needed to be crossed or built within. The eventual

industrialization of Russia came only after the USSR forced it through much toil from the

Russians. Russia’s size and, at times formidable, terrain has occasionally created difficulties for

the Russian government to control the citizens. That same size and terrain, though, forced the

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Russian government to drive the citizens into the industrial era and possibly causing those

citizens to rely on and obey the government (Etty).

While Russia is the world’s largest country, it only contains the world’s tenth largest

population, with 142,470,272 people (CIA). The population was in decline for nearly two

decades since the end of the USSR, but has recently been showing some improvement (World

Population Review, 2014). The Russian population is one of the few populations with a negative

growth rate, and while it has been improving, it is fairly unstable. The 2010 Russian census reads

that Russia has lost over two million citizens since the collapse of the Soviet Union. Of Russia’s

current 142 million, 80% consider themselves to be Russian (Embassy). The remaining

population consists of over 190 different ethnicities, the largest being Tatars (3.8%), Ukrainians

(3%), Chuvash (1.2%), Bashkir (0.9%), Byelorussians (0.8%), and Moldavians (0.7%). This

diversity combined with the size of Russia has caused problems for the government to control

the citizens (Etty). The majority of the population can be found in the west in two areas within

Russia, the Central and the Volga regions, and 73% of the population is located in urban areas

(Embassy; WPR). Russia’s largest cities, Moscow and St. Petersburg, are both found in this

European half of Russia. The eastern side of Russia has less people because of the difficult

terrain and climate in the west (WPR).

Crimea is peninsula in the Black Sea located in southern Ukraine. It is adjacent to

southwestern Russia, and once was the location of the Russian Black Sea Fleet, Sevastopol. It

belongs to Ukraine, but the Russians consider it a part of Russia, because of its mainly Russian

population and its Russian history (Kinstler, 11 Essential Questions About Crimea, Answered).

Crimea has been a part of Ukraine since 1954, but was given to Ukraine based on the idea that

they would stay a part of the Soviet Union. When Ukraine separated from the USSR in 1992 and

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became an independent nation, it brought Crimea with it. By this point the Russians had become

the the majority of the Crimean population (Keys, Complex Crimea: The History behind the

Relationship between Russia and Ukraine over Crimea).

Russia had seized Crimea in the late 1700’s, and the Russian and the Ukrainian people

began to immigrate into Crimea displacing the Tatars, Crimea’s native people. The final stage of

the displacement of the Tatars was in 1944 when Stalin moved the Tartars to Central Asia, where

tens of thousands died, and Russians took their place in Crimea. Since the majority of Crimea is

of Russian heritage and is essentially Russian in politics, its allegiances are to Russia rather than

to Ukraine (Keys, Complex Crimea: The History behind the Relationship between Russia and

Ukraine over Crimea).

Russia has little access to the sea, and their naval base in Crimea is their only warm water base

and provides access to more water (Jalabi, Yuhas, Ukraine Crisis: Why Russia Sees Crimea as

Its Naval Stronghold). This naval base necessity combined with the history between Russia and

Crimea has led the Russian government to position themselves against the Ukrainian

government.

The Russian geography creates a multitude of difficulties for the citizen, the government,

and foreign relations, particularly those with the E.U., the U.S., and Ukraine . The difficult

terrains and climates cause a lack of population density in many areas, and creates a lack of

agricultural and food for the citizens. The limited soil and harvest times are so poor that farming

is an arduous task. The Russian land does provide an abundance of natural resources, though

those come with their own problems. The oil production, 20% of the world’s oil is produced in

Russia, and the distribution system in Russia is largely governed by politics, and currently

Russia's friendship with China and troubles with the US over the Ukraine crisis is forcing Russia

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to take a larger interest in exporting oil to China. This exportation, which has caused an 8%

decrease in Saudi oil sent to China, brings anger from the other oil producing nations trying to

capitalize on China’s energy need (Nazemroaya). The Russian government’s decision to take

Crimea back has led to political condemnation by the West, and is having adverse affects on its

economy and geopolitics, particularly through sanctions. All of these economic and political

problems that the Russians need solved are being directly affected by the geographical attributes

of the Russian nation.

Political Problems

The political environment that makes up Russia has changed drastically over the

centuries and as time goes on, frequent and drastic changes in policies are becoming more

common and even accepted. Since 1991 and the fall of the Soviet Union, Russia has been a

developing democratic federation that has been determined to reach level ground with the

world’s top nations as a powerful competitor. Multiple accounts of military conflict and

territorial annexation including the invasion of Georgia, Chechnya, Ukraine, specifically Crimea,

have disrupted the global image of Russia as a renewed spirit, bringing fear back to those who

remember the Russian led USSR. As recent relations between Russian and Western allied

countries have worsened, the Eurasian country has been struggling to carry forth with its more

aggressive foreign policies due to falling oil prices, sanctions. Specifically, these sanctions

including the inability to borrow from international banks, meaning Russia’s surprisingly low

debt of 10% against GDP means nothing towards its credit (Boghani, 2015). President Putin is

being touted as the most powerful and dangerous man in the world and unless Russia begins yet

another major evolution following his political retirement or softened conscience, heightened

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tensions may lead to reactive actions from global powers stepping up and forcing Russia down

(Forbes, 2015).

In order to gain a larger perspective, it is vital to first recap on President Putin’s move

into power. After his initial term as Acting President beginning in 1999, official elections were

held in 2000 and Vladimir Putin was elected as the second President of the Russian Federation.

In attempting to make a strong image for himself as the embodiment of the Russian people, Putin

has taken part in a collection of global displays of Russia’s strength and ability to rewrite history.

Since the 19th century the republic known as Chechnya has been fighting for sovereign

independence from Russia. In 1991 after the collapse of the Soviet Union Chechen leaders

declared independence from Russia. Yeltsin reacted to the declaration by sending a small troop

of soldiers to Chechnya, however a nonviolent interaction with Chechen rebels led to the Russian

troops returning to Moscow and leaving Chechnya autonomous for several years. In 1994 Yeltsin

sent a mission of troops into Chechnya to officially reunite the region with the North, but

Chechen rebels organized their defenses and maintained a strong resistance as casualties grew by

the tens of thousands until 1996 when the two sides agreed to a peace agreement. The peace

agreement signed between the Russia and Chechnya gave certain levels of sovereignty to the

area while maintaining Chechnya as a nominally Russian region (Chechnya, 2014). After the

agreement was signed, years went by and Russia never invested in the rebuilding of Chechnya,

leaving it to barely survive in ruins. While the autonomous region did manage to organize

enough to hold elections, the chosen president Aslan Maskhadov was unable to rein in the

violent street gangs and overwhelming crime organizations that were taking over (Chechnya,

2014).

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In 1999 Putin had been chosen as Prime Minister and Chechnya was back in the news.

Dagestan, a fellow southern republic within Russia, pleaded for Chechen help and the help of all

Muslims to create an Islamic state and fight a holy war against oppressive Russia. Putin was

more decisive than his predecessor and quickly disrupted all forms of this holy war, ending the

conflict in under a month. Later in the year several terrorist acts were committed in Russian

cities involving bombings and other killings of hundreds of Russians. Placing full responsibility

on Chechnya, Putin re-invaded the previously autonomous region and destroyed all locations

thought to be home to rebel forces. Much of Putin’s policies in dealing with the southern regions

were heavily criticized by the U.S. and the general West, claiming Putin had committed major

acts of human right’s violations, war crimes, and that Russia’s invasion of Chechnya was more

centralized on oil assets than rebel control. Minor conflicts still continue to occur between

Russian forces and the local Chechens, although Russia labels the conflict as having ended in

victory in the early 2000s. (Chechnya, 2014)

Shortly after his election in 2000, Putin’s global alliance was tested in wake of the 2001

World Trade Center attacks. Putin quickly made it clear that Russia was an American ally and

offered full support in stomping out terrorism. This allied stance was quickly pushed aside when

the U.S. announced its plans to invade Iraq, although the U.S. ended its public statements

regarding Russia’s handling of Chechnya as the U.S. itself took on a role of searching to

eliminate terrorist groups (Trudolyubov, 2015). Putin’s labeling of Chechen rebels as Islamic

terrorist removed the conflicts from western media. In 2003 a new Chechen constitution was

jointly written with heavy influence by Russia, 2005 held new elections ending in the “United

Russia” party winning the presidency, and by 2009 Moscow declared Chechnya no longer a

threat, pulling out all forces from the region. Still, in the last half decade suicide bombings have

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continued in the region and the natives are far from ever calling themselves Russians (Chechnya,

2014).

Chechnya is not the only example of post USSR rebellion from Russian control. During

the 1990s and early 2000s, Russia had been fighting to reconnect with the southern country of

Georgia. In 1991 after the fall of the Soviet Union, Georgia declared its independence from

Russia, which had been attempting to hold on to Georgia even after the collapse. Georgia relied

on Russia for cheap energy and was weak from high unemployment rates and a falling GDP.

While fighting to solidify its independence, the autonomous regions of Abkhazia in the

northwest and South Ossetia in the north also declared their independence, but from Georgia.

While Georgia maintained armed conflict with these two breakaway regions Russia moved in to

support the small oblasts (Georgia, 2014). Both Abkhazia and South Ossetia were populated with

large groups of pro-Russians and claimed to be interested in rejoining with the Motherland.

Russia, desperate for Abkhazia’s access to the entire northern coast of the Black Sea heavily

funded the conflicts and eventually invaded Georgia in 2008. By late 2014 and early 2015,

Russia signed border agreements with both Abkhazia and South Ossetia, claiming the act was

“mild” compared to annexation, which Russia also claims would be perfectly legitimate if

decided upon (Dempsey, 2015).

During Russia’s conflict with Georgia, Ukraine was a major player in connection with the

West in attempting to reduce Russia’s interest and ability to invade Georgia. In 1991 after the

fall of the USSR, the Soviet Black Sea Fleet was divided and remains half in the control of

Ukraine and half in the control of Russia. Russia’s portion of the fleet has remained at the

Sevastopol port on the southwest corner of the Crimean peninsula in Ukraine. During 2008 when

Russia invaded Georgia, Ukraine’s President Viktor Yushchenko demanded Russia keep Ukraine

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uninvolved by not engaging through the use of the Black Sea Fleet (Crimea, 2015) . In April of

2008, before the invasion, President Bush had recommended the Membership Action Plan

(MAP) as a way of incorporating Georgia and Ukraine into NATO. This addition would allow

continued security of US oil from non Middle East sources by use of the pipeline that runs west

through both countries. The recommendation was criticized by both France and Germany due to

the likelihood of Russia seeing MAP as an aggressive gesture. Russia did in fact take offense to

the eastern expansion of NATO to “Russia’s border” (Evans, 2008) and began the preparation

process to invade Georgia.

In 2005 Ukrainian Streets were filling with protesters as what was known as the Orange

Revolution took full swing. Protesters accused President Yanukovych of organizing a fraudulent

election and western Ukrainians would not stand for it. The country had been run by a group of

eastern Ukrainian, pro-Russian elites that had been caught falsifying votes, using fading ink in

western Ukrainian voter booths, and employing coercion in order to secure Yanukovych's

presidency (Karpyak, 2013). After the successful re election process was final, Yushchenko won

the presidency and would lead the country with Yulia Tymoshenko as Prime Minister. The two

championed Ukrainian development through economic growth and dramatically improved trade

relations with Georgia and the West. Ukraine was positioning to join the West through NATO or

EU until things changed in 2010 (Karatnysky, 2005).

After three years of corruption and increasing unemployment in Ukraine, another

revolution began to grow around Yanukovych, although this time is came by storm. In 2013,

Ukraine was overtaken by the Maidan Revolution striving to join Ukraine with Europe and the

West as a whole. President Yanukovych was pressured to sign a treaty of association with the

European Union (EU). In a fit towards Russia for high oil and gas prices, Yanukovych nearly

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signed it the treaty, but was delayed. Before the signing of the agreement, Russia dropped the

price of oil and gas as Yanukovych hoped, as well as offered Ukraine $15 billion in low interest

credit. After this deal, Ukraine stood no chance of making an agreement with the EU as

Yanukovych rejected the deal and began talks with Putin in regards to signing an association

agreement with the Russian Federation (Karpyak, 2013). After having previously ousted

Yanukovych in the Orange Revolution, his corrupt behavior was far from being tolerated. The

Maidan Revolution involved the rapid overthrow of the Yanukovych regime and left Ukraine in

a power vacuum.

With Ukraine weakened and Russia recovering as many regions deemed “Russian” as

possible, Crimea claimed full attention. In 2014 Russian troops took over the Crimean peninsula

for the claimed purpose of protecting ethnic Russians. The peninsula has a majority Russian

population as well as the Russian Black Sea Fleet maintained in Sevastopol. After several

months Russia rushed a referendum to decide whether Crimea should be reunited with Russia,

and unsurprisingly the majority Russian population voted in favor of the concept, completing the

annexation (Crimea, 2015). Western Ukraine, western Europe, and the United States made

continuous claims that these acts were illegal and require consequential punishment. President

Obama reacted with the use of sanctions on Russian businesses in the US, and heavily pressured

western European states follow suit. Germany joined the US in sanctioning Russia, even though

the two economies are heavily entwined (Ratnam, 2015). As Russia’s economy struggles with

continued sanctions from around the globe, President Putin uses the situation as a tactic to

convince the Russian people that the US and the rest of the West is to blame for their poor

economy and unemployment (US, 2015). Without improved policy plans from the US, it appears

as if Russia will never have a true incentive to change.

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United States Policy Options

Sanctions Options

One route available to the United States in addressing Russian expansionism is by using

sanctions. As mentioned before, sanctions have been used against the Russians by the United

States government and the European Union as a punitive measure in reaction to the annexation

of Crimea and conflict in Eastern Ukraine. This section will analyze the benefits of the

continuation of these sanctions as well as the costs of doing so. Within the section, there are two

options presented with a slight deviation on one that creates a third option. The two main

options are, namely, the continuation of the economic sanctions, or the termination of the

sanctions. The following section will focus on the benefits first, followed by the negatives

concerning all sets of sanctions.

First, the direct economic goal behind the sanctions has failed. The Russian economy has

taken a massive hit recently and it is clear that the sanctions have played a part in the economic

breakdown. Notably however, the sanctions have been more effective due to the already

struggling economy of Russia. The drop in oil prices has most likely played a larger role in the

harsh circumstances that Russia finds itself in, but effective sanctions target weaknesses in the

Russian economy. The sanctions target key Russian individuals who tend to be wealthy with

many foreign assets. The first set of sanctions targeted these Russian individuals and effectively

prevented them from operating within the global economy. The targeting of the banks has

created capital flight within the Russian financial system making the economy weaker since

having investments there has become risky. Hence, the sanctions have been effective from an

economic standpoint (Solman).

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The sanctions could potentially undermine Putin’s power. Currently, Russia accepts the

narrative of the West as the cause of the economic issues in Russia, however, in the long-term,

the blame could be shifted towards Putin. Given the current situation, this would be beneficial to

United States interest. People may not accept Putin’s semi-authoritarian regime when they lose

all sense of economic hope. The sanctions could affect the support of the powers that run Russia

in the long-term (Aris 4-5).

The sanctions have shown that the United States will not tolerate an act of aggressive

expansionism. This could be beneficial towards the US in the future as other countries may see

that an act of aggression similar to the situation of Eastern Ukraine will come with an

international cost. In a sense, it is important that the United States and any U.S. allies show the

entire world what is deemed acceptable or not by Western standards. The sanctions sent the

message that the American government could dissuade expansionism in the future (Dreyer &

Popescu 3).

Building on the idea of signaling the cost of aggressive expansionism, the United States

has already shown Russia that any future attempts at expansion will be costly. It is hard to know

how far Putin was willing to go after the annexation of Crimea, but it is not a stretch of the

imagination to believe he could target other former-Soviet states, as seen previously in Georgia.

The sanctions weakened the economy and therefore, the potential for Russia to seize more land.

In other words, the sanctions may have minimized the damage that Russia could cause. There

are other areas near the Russian border that could have potentially been taken, but it does not

seem likely anymore. The sanctions have acted as a diplomatic and economic way to prevent

further chaos in the region. The argument to keep these sanctions is that the United States will

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still want to prevent any further expansion, so it could be pertinent to keep the sanctions in place

(Dreyer & Popescu 3).

In summation, the sanctions have had their benefits. The American government has

taken non-military action to hurt Russia. The long-term effects of the sanctions are unknown,

but they have the potential for being extremely potent in keeping Russia from further aggressive

moves. If this is the case, then the sanctions will be a great success. Whether they do eventually

cause Russia to pull back or if they undermine the Russian government, the sanctions potentially

could solve many large issues beyond Eastern Ukraine. However, the sanctions are not

necessarily great since they do come with their costs.

The first argument against the sanctions is that the conflict in Eastern Ukraine is still

ongoing. If the sanctions were meant to be a response to the Russian expansion into Eastern

Ukraine, then there has been no visible progress. The sanctions were initially enacted after the

annexation of Crimea, but Russia has advanced further into Ukraine since the sanctions came

into being. The sanctions may be working as a punishment, but not as a method to prevent the

expansionism. However, this argument does not solely argue against the sanctions, but given the

economic harm on other countries from the sanctions, it may factor into policy making (Dreyer

& Popescu 2-3).

As mentioned previously, there has been collateral damage to American allies, such as

the European Union. The EU trades more with Russia compared to the United States and the

sanctions have cost these countries more than the United States. Russia has also placed sanctions

on the EU in retaliation, further hurting their economies (Menon). While the EU has chosen to

participate in the sanctions, it may not be as easy for them to continue with the policy in the

future. This must be taken into consideration because the EU is an ally of America. Obviously,

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the sanctions are more effective with EU participation. The U.S. government has taken the

initiative with the sanctions so far, but given the fact that Europe is affected more by the

sanctions, it may not be in the best interest of America to continue to pressure the EU into

participating in the sanctions (Charap & Sucher).

The sanctions against Russia have long-term consequences that may not be worth the

benefits. Since the end of the Cold War, Russia has been integrating itself into the global

economy. This is observable since they trade with the EU in high volume. However, the

sanctions have ended their global status economically as they are now restricted. The issue is

that this type of action could isolate Russia from the West to a degree that has not been seen

since the Cold War. It is beneficial to the United States to have an integrated Russian economy

since they help U.S. allies and it keeps them from turning towards other non-Western partners in

the world (Steinbruner).

The worry about the isolation of Russia is that the sanctions push them closer to

partnering with China. If Russia and China were to initiate trade, the West would be left out

(Dreyer & Popescu 3). The United States would be challenged since any current economic

dominance that exists could be significantly lessened. Russia is a major power in the world and

losing them to another major power would be detrimental to the West. Thus, it is in the interest

of the United States to integrate Russia into the global system with the West rather than push

them towards alternatives (Saunders).

On a domestic level, the Russian economy would still suffer in the long-run from the

sanctions, but Russia will recover from the current crisis. The sanctions are not alone in hurting

the Russian economy, but rather, it has been the joint pact of low oil prices along with the

sanctions. Eventually, the price of oil will rise again and the economic pressure on Russia will

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slowly diminish. There is not much more that the U.S. or the European Union can do to

significantly add more economic pressure on Russia once it begins to stabilize, which had

already begun. Hence, the sanctions could have little effect in any peacemaking between the

West and Russia in the long-run (Larrabee, Wilson, & Gordon).

The sanctions have also not been effective in undermining Russian support of Putin.

With the declining economy, Russians could have turned on Putin, which would add more

pressure to drop any future plans of expansion. However, the sanctions have worked against the

goals of the United States. Before the crisis in Ukraine, Putin’s power was weak due to the

economic shortcomings that he faced. However, the annexation of Crimea sparked a

nationalistic approval of Putin. His approval ratings rose again when Putin shifted the blame for

the economic frailty of Russia on the Western sanctions. Putin has strong support again. Once

he was able to blame the financial issues on the West, he had more freedom to continue in

Ukraine with domestic support. Therefore, from a domestic standpoint in Russia, the sanctions

are not working effectively (Aris 5).

Lastly, the sanctions have caused a political strain in the West. The member states of the

European Union are not unanimously for the continuation of the sanctions. The goal of the

United States should be a peaceful outcome if possible. However, that becomes less achievable

without the West united. If the sanctions cause a rift between the United States and the EU,

while the sanctions themselves fail to be effective, then the continuation of the sanctions would

be counterproductive. Without unity, any sanctions in place will become weak and Russia will

feel less international pressure than they do already (Bond, Odendahl, & Rankin 17-23).

Therefore, the United States is left with a few options regarding the sanctions on Russia.

From the pros and cons listed above, there may seem to be only two options available to the

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United States: to continue sanctions or drop them. However, there is another option. Based on

the benefits and costs above, another option for the United States government is to follow the

European Union’s decision on the sanctions. The precedence for this is that they are an ally of

America and they have more at stake with respect to the sanctions compared to America.

Obviously though, the United States must act in its own interests and that may not be in

accordance with the EU.

There are three options presented above on how the sanctions against Russia should be

handled by the United States government. The course in which the government takes will have a

large impact on the development of the crisis in Eastern Ukraine as well as Eastern Europe. It is

of the utmost importance that the correct and most optimal decision is made regarding the

sanctions since they have the potential to end the conflict or escalate it.

Arming Ukraine

Benefits

While the concept of war is seemingly daunting and unfortunate, the logical aspects of such events can be quite beneficial to achieve particular goals. The US has spent billions of dollars assisting in Ukraine’s recovery from economic and political disaster, however it has become far more apparent that expectations are increasingly pointed at a need for military support (Dettmer, 2014). As Russia continues to covertly harass and attack Ukraine, the US is put in a very critical position. There are many reasons to help Ukraine and plenty of obvious factors that suggest the contrary, however in the end it will most likely require something truly catastrophic before and actual moves are made.

The potential for substantial monetary gain for the US has always been an obvious motivator, afterall, a state’s agenda consists of maintaining self interests. In regards to Ukraine, if the US supported their fight against Russia, there would be a dramatic growth in the region for the need of American weapons. As the fighting began, the US could sell weapons to the Ukrainians and any local ally that joined in the fight, all while remaining a relatively uninvolved actor. As the war progressed or even reached resolution, the US again would be able to invest in the recovery of eastern Europe, providing large funds to countries with the likelihood of significant return from interest (Michelson, 2015). As seen post World War Two, many European countries fell deep

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into debt to the US as a result of American recovery funding (History). As also sprouted post World War Two, the uninitiated involvement of the US in a war would potentially bolster the American superpower image that was created after the last World War and has been fading ever since (Michelson, 2015).

As allies with Ukraine, a fundamental issue with the US remaining uninvolved is that Ukraine simply does not have the capacity to defend itself from Russia while the US does have that ability mirroring allied obligation. Ukraine’s poor defense capability is in part due to push by the US. As nuclear countries were becoming more likely at the end of the 20th century, the US convinced Ukraine - the third largest nuclear power in the world - to dismantle its nuclear arsenal while attending the 1994 Budapest Memorandum on nuclear proliferation (Dettmer, 2014). The agreement was that if Ukraine dismantled its nuclear program, the US would be a protector of Ukrainian sovereignty (Council, 1994). Now that Ukrainian sovereignty is finally being tested, the US is becoming increasingly obligated to assist and stay true to its word. In addition to maintaining relations with Ukraine, the US is being pressured from within. US senators from both parties are pushing the White House to arm Ukraine and help end the bullying. By arming Ukraine, the US pleases American lawmakers, keeps US troops home pleasing the US general population, and maintains a nonoccupational position as is often a criticism of American foreign policy (Dettmer, 2014).

When considering the weight of a decision, the weight of alternatives are most vital. In the case of the Ukrainian conflict, the alternative to increased military support would be drive for a ceasefire. In September of 2014 there was a ceasefire known as the Minsk Protocol (BBC, 2015). Unfortunately the ceasefire had no effect but was followed up in February of 2015 with another Minsk Protocol, this time urged by German Chancellor Angela Merkel. Unfortunately the second ceasefires’ dates were prefaced with significant increases in bombings up until the beginning hours of the “peace-time”. While attempting to maintain a nonaggressive perspective inline with ceasefires, the concept of increased radar zones along the battle zones would allow for pinpoint accuracy as to the origin of rocket fire, assisting in maintaining ceasefire accountability (Pifer, 2015). As covert Russian forces continually grow in the region, polls in Russia have shown dramatic disapproval of the idea of Russia sending official troops to Ukraine. If the US increased Ukrainian force, Russia would be forced to transition into overt combat and would quickly lose his national approval (Jamestown, 2015). In addition, overt war is far more expensive than Russia can afford, and this would become a quick way to see Putin’s power disappear. In attempting to out fund Russia, the US would not be alone. Poland, the Baltic states, Canada, and Great Britain have agreed that if the US were to become involved, they would as well, while Britain remains the most tentative. The combined force of these countries would undoubtedly send a strong enough message for Russia to withdraw its thugs and insurgents (Pifer, 2015).

Russia has a huge advantage over the US in regards to geographic locations of its troops, if the conflict were to come to direct overt troop movements. However, if the US

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remained a supplier of weapons, the dozens of US bases in Europe and western Asia would allow the movement of massive armaments. The US does lack any naval power in the area, however in regards to the Russian fleet in Sevastopol, the US would likely not waste time routing a fleet due to the low threat that Russia’s fleet offers. New York University professor Mark Galeotti describes the Russian fleet as old, weak, and even at the mercy of a single-handed Italian navy. Lastly the US has Russia outnumbered in active bombs, aviation fighters, troops, tactics, and alliances (Weber, 2014). If Russia did not immediately ease off of Ukraine, Putin would quickly be chased out of the Kremlin by his own people.

Costs

By Courtney Misich

A report, issued by the Atlantic Council, Brookings Institute and the Chicago Council on

Global Affairs at the beginning of February, pressures the Obama administration to arm Ukraine.

The proposal states that to deter Russia the United States needs to send defensive weapons to

Ukraine with the budget of 1 billion dollars for the next three years. This internal pressure from

inside Washington by congressmen and outside could influence the United States to send arms to

Ukraine without examining the costs of this action.

The main cost of arming Ukraine is the threat of escalation of the conflict with Russia

into a war. Escalation is a result of Russia’s insecurity from Ukraine and neighbors leaving

Russia’s sphere of influence. Stephen Walt explains this as a spiral model contrasting with others

who view Russia’s action within the deterrence model when looking for solutions. Walt’s

reasoning is “Putin & Co. are also genuinely worried about America’s efforts to promote ‘regime

change’ around the world- including Ukraine- a policy that could eventually threaten their own

positions. It is lingering fear, rather than relentless ambition, that underpins Russia’s response to

Ukraine” (Walt). This model provides a rational for Russia’s actions and demonstrates that

arming Ukraine will only promote escalation with Russia. Additionally the escalation will allow

for Russia to openly fight in Eastern Ukraine instead of covertly with greater support from the

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Russian people, who will view US arms as a threat to their security. For Russians this is

enhanced by the sentiment that the United States organized the Maidan coup and supports

Ukrainian forces. “Putin [is] talking about rebels fighting a ‘NATO legion’ in the area and the

foreign ministry [is] repeatedly speaking about ‘foreign mercenaries’ fighting alongside

Ukrainian troops” (Walker "Ukraine: US considers military help for Kiev as separatists plan to

mobilize army"). This view of the US may make Russia escalate the situation into a war because

of the involvement by the United States in supporting the Ukrainians. Escalation will force the

US to follow with more support or even troops on the ground for an already war-weary United

States.

Additionally by arming Ukraine, the United States will become increasingly involved in

Ukraine over a longer period of time. The arms will take time to reach Ukraine which allows for

the conflict to escalate causing the United States into enter the conflict, which would be

supported by hawkish members of congress. Additionally Ukraine’s mismanagement of its

government has led to the extreme deflation of its currency’s and more internal problems that

create the demand more American military aid from mismanagement. Loren Thompson writes

that “policymakers need to understand just how costly it will be to make Ukraine a viable state

capable of defending its own sovereignty. Lethal military assistance will deepen Washington’s

involvement, but it won’t fix the larger problem” (Thompson "Arming Ukraine: Dubious Logic,

Dangerous Consequences"). The amount of time and money that Ukraine needs would force the

United States to be the provider for Ukraine; relations with Russia would further decrease. This

stems from the previous aid and loans provided by the international community including the

United States, Ukraine has high foreign debt and corrupt institutions that would prevent US arms

and time investments. Moreover the United States would have to rebuild the Ukrainian military,

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due to corruption and incompetence within the Ukrainian institutions providing evidence against

arming the Ukrainians. The reforms needed before arming the Ukrainians would have to be

throughout the Ukrainian government and cost greatly in time and money for the United States.

There is a large lack of understanding by the United States of the situation that shows

with a lack of an aftermath plan arming Ukraine. Henry Kissinger stated “I am uneasy about

beginning a process of military engagement without knowing where it will lead us and what we

are willing to do to sustain it” (Thompson). This viewpoint demonstrates that there is little

understanding of region by the United States to account for arming Ukraine especially without

another plan in place if arming enhances the crisis or the after effects of it. The report issued by

the Atlantic Council and others does not provide another plan or account for deterring Russia

such as the other options in this paper. Moreover the United States is ignorant of the state of the

Ukrainian army and government that is near collapse which will allow for the weapons to fall

into separatist hands.

The United States direct involvement through arms would further deteriorate relations

with Russia which is valuable for US interests in other regions of the world for example Russia’s

influence in the Middle East and with Iran. Additionally arming Ukraine is not in America’s

interests based off of US desire for stability in the region. These interests are damaged by the

US expecting Russia to abandon its interests immediately without any benefits and under

coercion, which no country does. This not only harms relations but threatens escalation due to

ignorance. Additionally this correlates with the minimal American interest in Ukraine, the most

significant tie is with the 1994 Budapest Memorandum which guaranteed Ukraine’s security for

disposing of their nuclear weapons. However Ukraine has not been welcomed into NATO

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because of the known risk of war with Russia, demonstrating the United States’ lack of

conviction with Ukraine.

Moreover Russia has a greater interest in Ukraine, historically and geographically. David

Speedie explains “history- which serves to remind us that the very idea of ‘Rus,’ Russian

identity, was born in Kiev, centuries before Moscow’s founding? Ukraine will never be just

another country to Russia, or, for that matter, to the 30 percent of those of Russian origin who

live in Ukraine. Another, darker symbolic significance lies in the historical fact that both

Napoleon and Hitler invaded Russia through Ukraine” (Speedie). These deep cultural ties

demonstrate Russia’s drive to maintain Ukraine within its’ sphere of influence that contrasts with

the West’s greater indifference. Therefore arming Ukraine creates tensions within Russia that

will drive escalation and allow for the United States to be drawn into a war with Russia.

Important American allies, such as France and Germany, oppose supporting Ukraine

through arms and this could severely harm US-European Union and NATO ties. Throughout the

crisis, the United States and Europe have been united but the threat of fracturing alliances could

change the crisis and other US interests throughout the world. German Chancellor Angela

Merkela has stated “Germany will not support Ukraine with guns and weapons. We are putting

all our bets on sanctions and doing our best to find a diplomatic solution.” (Walker). The firm

stance of the Germans against arms should dissuade many from arming Ukraine as they are a key

ally in Europe and are vital to Europe’s relations with Russia. If the American alliances with

Europe fail, the repercussions will be seen in relationships with the EU and NATO. Timothy

Frye states that if the EU and American alliance fails, “economic sanctions against Russia would

end at the earliest possible convenience and Ukraine’s dream of joining the EU would evaporate

as some EU members will surely fault it for not accepting a political deal with Russia.” These

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repercussions will affect US-allies interests from the growing mistrust between the allies and the

loss of Western legitimacy. However this has not been the case in negotiating cease-fire between

the separatists, Ukraine, and Russia which are led by Ukraine, Russia, France, and Germany that

demonstrates the importance of US reliance on its allies for ending the crisis.

The opposing sides have already agreed to two cease-fires in Eastern Ukraine and there

are attempts at peace talks with Germany, France, and Russia leading them to prevent the United

States arming Ukraine. This evolution of the Minsk 1 provides more details with deadlines for

implementation, immediate humanitarian aid, and restores the core principles of the September

cease-fire. The cooperation with the cease-fires provides the United States hope of a diplomatic

solution without sending arms to Ukraine. Further developments of peace would continue in the

mode of Minsk 1 and 2, “a long-delayed process of internal Ukrainian reconciliation and the

establishment of fully functional governing institutions that can operate honestly and

transparently in the interest of the entire population” (Rojansky). This peace would provide a

more stable Ukraine for Russian relations and for US interests in the region. The cease-fires, if

upheld, provide the reason for the United States not to supply Ukraine with arms.

The costs of the United States supplying arms to Ukraine are too great for its interests and

allies. These factors could lead the US into another war that could devastate the country and its

relationships with other countries. Furthermore the country is war weary and there is a lack of

support at home by the public to support this option. While there are many officials who

advocate arming Ukraine, there is a majority that reveals the lack of other options that result

from arms and the costs that arms create are greater than the benefits. The US policy for Ukraine

needs to move from arms to diplomacy to maintain relations and interests with Europe.

The European Union Leading Economic Assistance and the EU as Peacemaker

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The European Union has played an integral role in diplomacy to bring the crisis with

Russia to an end; the United States should acknowledge this and allow for the EU to lead

diplomatically and in rebuilding Ukraine. Since the crisis began; the EU, United States, Russia

and Ukraine have debated over whether or not Ukraine should have closer relations to Europe or

remain within the Russian sphere of influence. However the Europeans have adapted to fight this

crisis with the Germans leading the path for a diplomatic solution. For Americans, the question

of the extent that Europe will play as peacemakers and rebuilders of Ukraine has provided

alternatives that are non-military and can retain international relationships within the EU and

with Russia.

Germany is the leader in the European Union for the Ukrainian situation as a peacemaker

and in economic matters. This has developed out of Germany’s economic ties with Russia and

their shared cultural aspects from their communist pasts and being a historical Western outsider.

Chancellor Angela Merkel is the example because she grew up in East Germany under Soviet

rule and has close Russian ties but maintaining supporting Germany’s role in the EU. While

Merkel declared Russian actions in Ukraine intolerable, she has maintained open

communications with Ukraine, Russia, and Western allies to work towards peace. The downing

of the Malaysian airliner created the unity which helps Germans gain support for the sanctions

and from the European Union. Germany has used sanctions even though this harms their own

economy. This firm line on sanctions within the EU has helped to place strain on the Russian

economy and is believed to have brought Russia to cease-fire discussions with France, Germany,

and Ukraine. This ability to bring countries to discuss peace has also been seen with Merkel’s

ability to gain the support of the EU countries, most importantly France and the United

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Kingdom. Merkel’s abilities will aid the United States in ending the crisis and rebuilding

Ukraine and relations with Russia.

However Germany as the leader for solving the Ukrainian crisis faces some challenges.

There have been accusations that Germany is not committed to NATO due to their

condescension for war. US Defense Secretary Robert Gates said NATO was in danger of

becoming, “a two-tiered alliance…between those willing and able to pay the price and bear the

burdens of alliance commitments, and those who enjoy the benefits of NATO membership, be

they security guarantees or headquarters bullets, but don’t want to share the risks and the costs”

(Kundnani). Gates’ statement is directed at Germany, who spends less on their defense budget

than the NATO agreed percentage. This allows the United States to understand that Germany

will work to prevent the situation escalating into a war between more countries than Ukraine and

Russia. Many view this as Germany’s unwillingness to take military action to solve international

problems; this is remnants from the Second World War and the Cold War divisions. For Russia,

allies fear that Germany will not deter Russia and Ukraine will lose it sovereignty. Additionally

Germany depends on Russia for its energy as well as to export its goods.

The EU has placed a great amount of resources into stabilizing Ukraine to help with

corruption, economic development, oligarchs, and institutions. The EU has continually funded

reforms within Ukraine, the most recent being 1.8 billion Euros in April 2015 to prevent the

default of the Ukrainian government. The IMF has placed strict austerity measures on the

country in order to receive funds and other conditions to allocate more funds. This new aid is

greatly desired with Ukraine 72.9 billion dollars in debt at the start of 2015 (RT). The assistance

has followed previous agreements and plans for trade. Additionally in August of 2014, Germany

pledged 690 million dollars for the rebuilding of war areas in Eastern Ukraine. Assistance is

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greatly needed for Ukraine, but there are fears of the corruption and instability of the government

especially when the economy is dominated by oligarchs. The aid is much needed but the problem

of stabilizing Ukraine is more systemic than simply financial.

The European Union has the ability to stabilize Ukraine and bring peace to the region as seen the

Germans’ attempts to prevent bloodshed. The costs of peace and stabilization take time and need

to allow for systemic changes within Ukraine to fight the corruption and problems within their

government and economy. However if the EU is able to end the crisis, the commitment already

shown can allow for Ukraine to rebuild into a stable and productive

US - Russian Cooperation in the Middle East

Cooperation between Russia and the West has been a difficult task to contemplate,

however as modernization brings forth novel issues, the fight to tackle increasingly global

problems requires a more cooperative strategy. Cooperation aside, the feasibility of working

hand in hand with the Kremlin, a political entity that is set on defying the West, has been waning

ever since Vladimir Putin took office. In the hopes of truly accomplishing political developments

in the Middle East, The US will need to find a common ground in foreign policy that is not

focused on twisting Russia’s arm, and more specifically focuses on reducing antagonistic foreign

policies that simply divide the White House and the Kremlin even further. The Middle East has

been a thorn in the side of both Russians and Americans for the last several decades. Although

the concept of stomping out terrorism has been the more recent American goal, Russians tend to

view the same issue as stomping out separatists. Finding common ground will be vital if the two

powers wish to accomplish anything meaningful in the region. Additionally, the compromising

negotiations that would undoubtedly be required to formulate a cooperative plan in the Middle

East would allow for growth in relations between the East and the West. As relations grow,

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working with Russia to bring Ukraine back into a stable state could be a possible tactic in

continuing progress with the East-West relations (Morello, 2014).

Fortunately, both nations would bring significantly unique perspectives to the table,

however unfortunately they would not always be beneficial to achieving any sort of goal. While

analyzing the pros and cons of a mutually beneficial foreign policy option, it is vital to realize

that even if an agreement was worked on, it would likely be at the expense of many political

compromises that potentially outweigh any benefits once the deal is set. The frequently

demanded Russian requirement of the removal of US armaments and bases nearing their borders

is simply not feasible, and therefore not even a weighable option.

Benefits:

As ISIS continues to add members to its near 20,000 extremist force, the US and Russia

have finally reached a point where interests overlap. In most Middle Eastern issues, the goals

have been too different for the two countries to reach an agreement, but now that ISIS is training

terrorists and sending them to wreak havoc on both nations, the end goal is one and the same.

The process of seeking out intel and leads on terrorist cells is a slow and expensive task,

requiring many people and resources to do the groundwork. The divided expense between both

the US and Russia would help ease the financial strain of such costly military endeavors. Sharing

intelligence on ISIS, sharing US and Russian military advisors, and using pre formulated

strategies as employed in Afghanistan would allow for a huge step up in locating and eliminating

terrorist activity (Graham, 2015).

Working side-by-side with Russia would display a sign of respect as being a needed

power in global dealings. Improving relations between the US, Europe, and Russia through

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political and military agreements in the Middle East will be the vital base work necessary in

opening talks on more delicate issues between the East and West. Although military cooperation

is not a likely solution for handling the issues in Ukraine, it would likely slow the worsening

relations with Russia and the West allowing for the reduction of terrorist activity and more

diplomatic discourse.

ISIS and Ukraine are not the only reasons for cooperation. Russia and the United States

have been facing issues in Syria and Iran that are rapidly growing into large scale global

dilemmas (Bishara, 2015).

Syria’s use of chemical weapons was an immediate issue for the US when Bashar Al-

Assad began using them against his own people. The US stated that this would result in US

forces going into Syria, however Russia stepped in and began negotiations with Syrian leaders.

The push to continue this progress with Russia will not only remove chemical weapons from

Syrian use, but also remove the possibility of the weapons being sold to terrorist groups and

ending up crossing Russian borders or European borders. This prime example of a need for

mutual goals shows the delicacy of the US - Russian relationship. Chemical weapons are an issue

Moscow and Washington see eye to eye on, so the issue was handled. If similar mutually

agreeable issues can be emphasized, a partnership has every chance of success (Albright, 2013).

Further work to be done in Syria includes the assistance in rebuilding national infrastructure, as

well as maintaining pressure on any interim government during the state’s transformation into a

democratic country. The US and Russia have the ability to promote continued development,

however both countries must be sending a consistent message, otherwise success is unlikely.

In Iran there has been a strong push for nuclear development, although specifically what

type of nuclear development has been a sensitive subject in the global forum. Iran claims to be in

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need of cheaper energy sources, but the world worries about weapon development. Both Russia

and the United States see eye to eye in regards to keeping any Iranian development away from a

weapon focus, but how to go about doing this is where the world remains torn (Albright, 2013).

The fear of giving Iran financial assistance in developing nuclear programs is legitimate, in that

the program could rapidly turn into a weapons program if unsupervised, therefore Russia has

agreed to take full lead on construction of the Iranian nuclear power program through join US

and Iranian funding (BBC - Russia, 2014). This is a perfect example of the existence of room for

truly beneficial cooperation among a mix of states.

Costs:

As the potential for strengthening US - Russian relations weighs in on a Middle Eastern

policy agreement, so does the vast possibility of disaster. Russia is a country with a strong and

independent agenda. The more the US attempts to solve issues in the Middle East, the more it

becomes obvious that outside help is needed, however this requires an accurate gauging as to the

likelihood that requesting said help from Russia will be fruitful.

As we have already seen, Russia has been developing ties with Egypt, which to our allies

in Israel is a wedge that could destroy our already weakened partnership (Economist, 2015). In

addition to Israel’s outspoken disagreement with a US - Russian plan to assist Iran in developing

nuclear power due to the fear of weapon’s development, Israel is an ally, and the alliance must

be accounted for (Corsi, 2015). As mutual goals are achieved, Russia’s motivation for

cooperation would likely deteriorate and ties to more lucrative partnerships could be

strengthened after Russia’s Middle Eastern establishment (Elshinnawi, 2014).

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Regarding Ukraine’s recovery, primary reasoning against a partnership with Russia is the

abuse of the agreements made in the 1994 Budapest Memorandum. Ukraine agreed to dismantle

all nuclear weaponry for the right to have all borders indefinitely respected as sovereign

Ukrainian land and protection by allied states such as the US, Russia, and Britain. As Ukraine

continually calls to the US for assistance against the invading Russian covert forces, especially

after Crimea’s secession from Ukraine, any attempt to partner with Russia would be a signal that

the US does not care about Ukraine (Guehenno, 2015).

Feasibility:

The policy option is not as simple as creating a cooperative program in the Middle East.

The option is defined as encouraging Russia to assist in the rebuilding and resecuring of the

Middle East. By assuring the reduction or elimination of US and EU sanctions and pressing the

significant mutual benefits such as terrorist elimination and increased economic and political

stability in the Middle East, the remaining factor is the feasibility of such an option. As

previously mentioned, Russia has already agreed to take lead on Iranian nuclear energy

construction with US and Iranian cooperation, as well as having stepped in for the US in Syria

when dealing with chemical weapons. It appears that while entirely legitimate cooperation is

unlikely, working towards mutual goals under the pretext of a define joint strategy is possible,

but financially must be better understood.

When using previous military data as a basis for a rough estimate of the validity of an

option, the Iraq War and Afghan War will be base. The Afghan War lasted 180 months and cost

$1 trillion dollars including combat, reconstruction, and political reformation programs (Dyer,

2014). The Iraq War lasted 105 months and cost $1.7 trillion including the same combat,

reconstruction, and reformation programs (Trotta, 2013). This estimate puts the war in

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Afghanistan at nearly $6 billion per month, and the war in Iraq just over $16 billion per month

(Taylor, 2014). The funding of these two wars, while shockingly high, was possible with rapidly

reducing financial and political support from other countries. The feasibility of a partnership with

Russia in attacking terrorism in the Middle East and assisting the reconstruction of both the

Middle East and Ukraine is logistically and financially achievable. In regard to political

feasibility, ground has already been made, but the real question is whether or not enough factors

remain which can be used in the encouragement in keeping Russia on track.

NATO Not Expanding into Ukraine

Cons of NATO Not Expanding

Georgia and Ukraine both want to join NATO, and it is still an advantage to be a

member. It was an important military alliance created specifically as protection for the treatied

nations against the Soviet Union. NATO has prestige and global power, localized in Europe, but

its history of ineffectiveness has caused it to be viewed as unnecessary or in need of reformation

(Bandow). Even with this possibly decaying organization would sound appealing to both

Georgia and Ukraine, in the midst of their situation with Russia.

The Russian understanding that Ukraine and Georgia are essentially independent

extensions of Russia, and that the West is a hindrance to that idea, has caused Russia to combat

their entry into NATO. Georgia and Ukraine’s decision to try and become NATO members

caused Russia’s reaction of increased hatred of the West and choosing to create a geopolitical

environment that NATO would rather not be a part of than accept Ukraine and Georgia

(Mankoff).

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If NATO were to respond by accepting Ukraine and Georgia, and relaying to Russia that

these nations were under the obligatory protection of NATO, that would show the power and

success within NATO. Doing this though would mean that if NATO failed to adequately protect

Ukraine, it would cement the idea of incapableness that clouds NATO’s public image

(Croucher). It could lead to a more aggressive call for the disbanding of NATO, or at the least an

intense reformation in the policies addressing obligatory protection of members.

Russia is not listening to international warnings about Ukraine, and a stronger NATO

presence and reaction may deter Russia from expansion and its interference in Eastern Ukraine

(Walt). Aside from sanctions, not much has been done against Russia for the Ukraine Crisis, and

if NATO were to act in the interests of Ukraine, Russia would take this as a sign of increased

NATO offense. If the Russian government continues to feel emboldened and can continue to get

away with things like annexing Crimea, interfering with Eastern Ukraine, and refusing to allow

Ukraine to become a part of the West, and NATO allows this, it will reinforce the idea that

NATO will not retaliate. Russia take advantage of NATO’s weakness and carry on with their

aggressive behavior (Walt).

If NATO were to respond in a more aggressive manner towards Russia, it would also

ease the minds of its member states, the Baltic States in particular (Bandow). Their proximity to

Russia and Russia’s current land grab has created a sense of fear amongst the Baltic states. These

members are responding to this by calling for more resources and military bases in their nations,

but the majority of these resources would come from the U.S., using U.S. money. If NATO were

to take action against Russia, it would calm the longing for increased security measures in the

Baltic states. This would then keep the U.S. from using its own resources to supply and protect

even more nations.

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Pros of NATO Not Expanding

Ukraine is so tied up in Russia, economically and historically, that severing these ties

could be damaging to Ukraine (Shipley). Many Ukrainians are from Russia whether in ancestry

or through immigration, and severing a part of that identity can have adverse affects on the

people. It can also create problems within the already crumbling Ukrainian economy. Ukraine

cannot afford to not do business with Russia, particularly with its dependence on Russian energy

resources. Ukraine receives more than half of its oil from Russia (Ahmed, Ukraine Crisis Is

About Great Power Oil, Gas Pipeline Rivalry).

Since Ukraine is not a member and, is in fact, far from being one, NATO has no

obligation to protect it. Protecting Ukraine would use resources that have been allotted to the

protection of members (Bandow). It would also mean sending weapons to Ukraine and the

possibility of starting a war that NATO has no major stake in at the moment. There are steps,

economically and politically, that Ukraine must take in order to qualify as a NATO member, and

at that point NATO must still accept it as a member state. This would take several years to

accomplish, and in the meantime Russia can continue to act in a damaging way towards Ukraine,

to the ends of possibly making Ukraine undesirable to NATO (Shipley). Many Ukrainians have

strong ties to Russia and do not even want to be a part of NATO, so there may be little

cooperation from the people while preparing for NATO admission (Monaghan).

Putin has more to gain by confronting Europe and the U.S. He views NATO as an enemy,

rather than the peaceful neighbor that NATO has been trying to present itself as, and he will do

anything to keep the enemy from expanding (Monaghan). NATO was originally used to protect

member states against the Soviet Union, and to the Russians, NATO is still used to limit and

deny the Russian nation (Walt). Because of the idea that NATO is the enemy, Putin acts in

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accordance to his fear and insecurity about Russia’s global position and power, and NATO

acting forcefully against Russia will just solidify the fear and insecurity. Russia has also seen

NATO as a threat for a very long time, and is prepared to fight against it, possibly even

reclaiming some areas that NATO has a place in now (Monaghan). Russia has given warnings

that it would not stand for Ukraine becoming a part of the West, and the U.S. have chosen to

ignore those. Ukraine is more important to Russia than it is to the West, and Putin is most likely

more willing to fight harder for it than the NATO will(Walt).

If NATO were to respond to this with the deterrence model, it would most likely cause

Russia to respond in equal force and use its proximity to Ukraine to its advantage. The

deterrence model is used when a nation is behaving aggressively for its own gains, like

expansion or cheaper resources. It is fought against with aggression and force if need be. If

NATO took on the spiral model instead, which is used when a nation acts aggressively out of

insecurity or fear, NATO would have to back off and appease Russia, which would ease

tensions with Russia and not use more U.S. resources (Walt). If NATO used the deterrence

model unnecessarily, it would cause Russia to be even more aggressive. Whereas if it responded

with the spiral model unnecessarily, Russia would take advantage of NATO’s moment of

weakness for it’s own gains

NATO becoming involved in the Ukraine Crisis would rely heavily on the U.S. The U.S.

would provide the majority of resources, and Obama has already suggested a 1 billion dollar

fund for NATO, which will be used to increase security in the Baltic States in particular

(Bandow; Monaghan). The US carrying these expenses even though it has a history of

unnecessarily entering wars, Iraq and Vietnam, and not using its resources wisely, is not a valid

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idea (Kissinger). The U.S.’s lack of efficiency in war has the potential to create an economic

strain, and going to war with Russia is not in the U.S.’s best interests.

U.S. Economic Assistance

Pros

U.S. and international sanctions on Russia will not be effective alone (Larsen). The U.S.

has pinpointed Russia’s aggression towards Ukraine as the main reason for Ukraine’s inability

to stabilize, and has responded thus far by placing sanctions on Russia and providing Ukraine

financial assistance. Ukraine’s economy has been unstable since the 1990’s, and the financial

assistance it receives from outside nations and organizations has been necessary to sustain its

economy (US to Offer more Economic Assistance to Ukraine). At this moment, Ukraine’s

economy is in such bad shape that it does not have the strength to provide its own resources to

protect itself against Russia. While the sanctions placed on Russia may help to deter them from

further aggression in East Ukraine, Ukraine still needs to have the resources to build itself up

against Russia.

International economic assistance would help end corruption in Ukraine (BBC).

Corruption has been rampant in Ukraine for long time, and has caused difficulty for the economy

to thrive. Ukraine is heavily in debt, and with the corruption within the nation, money is being

used both inefficiently and illegally. Many political leaders have used the money for their own

gains, and gone so far as to steal it for their own uses. With the economic assistance proposed by

the US and the EU, comes guidelines and rules set in place to encourage economic growth and

discourage corruption and inefficiency (U.S. Offer Economic Assistance).

Following international economic policies may help them get into NATO. In order for

Ukraine to become a member of NATO, it has to make some reforms, which may take several

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years depending on Russia’s negative involvement (Shipley). These reforms would help Ukraine

to stabilize its economy, limit corruption, and become part of the world’s largest military

alliance. Joining NATO would provide Ukraine with protection against Russia, and would create

an obligations amongst the other NATO members to provide this protection. This would in turn

stabilize Ukraine and its economy.

Cons

Ukraine has failed to follow the rules that come with the financial support. Ukraine has

been so economically unstable for such a long period of time that it has taken out loans from the

IMF 5 times (US Offer Economic Assistance). According to Zuesse, since the 90’s the U.S. and

the EU have given near $40 billion dollars to Ukraine to help them reinvigorate and stabilize

their economy, but to continued disappointment. With these loans comes the guidelines and rules

on how to regulate their spending and what the money can be used for in order to stabilize the

economy. Unfortunately, what has kept Ukraine in economic trouble is their lack of following

these regulations and continuing down the path of inefficiency and corruption. Without further

financial help, Ukraine is nearing bankruptcy.

The US has recently announced giving $17 billion in aid to an international aid package

for Ukraine, but the Ukrainian reforms must be made this time. These reforms include bank and

energy sector reformations, along with other rules placed by the EU. If Ukraine does not follow

these terms, it will only carry itself further down the path of instability it has followed since the

1990’s.

Changing things like raising taxes and lowering minimum wage could cause the people to

protest and overturn the government once more (BBC). Understanding that Ukraine must make

economic and political changes and follow the reforms set by their lenders, the prime minister

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has released a set of ideas to better the nation’s economic standing. These ideas include doubling

taxes, raising the retirement age, and changing free healthcare to a private insurance system

(Goncharenko). These reforms will create an even more difficult life for the Ukrainians, and

may lead to further protesting. Ukraine needs to stabilize the economy, ward off Russia, and

pacify its citizens; all of which may not be able to be done at once. When Yanukovych was still

in power in Ukraine, Russia had agreed to lend Ukraine 12 billion euros in order to stimulate the

economy, but once Yanukovych was removed from power, Russia rescinded that offer and took

the opportunity annex Crimea and act aggressively towards East Ukraine. If the Russian-

Ukraine Crisis were resolved in an amicable fashion, most likely through the spiral model,

Russia may be willing to once more support its neighbor and the US would not be pledging its

own resources to a decaying economy (Goncharenko).

United States Policy Recommendations

General Recommendations for Russia

By Courtney Misich

The Ukrainian Crisis has deteriorated Russian-American relations from the actions taken

by both countries and their rhetoric. The course of action that the US takes must account for the

level of involvement , the amount of time put into Ukraine and how best to preserve US interests

and relations in the region. While the European Union maintains better relations with Russia and

Ukraine, the United States should place its weight behind the EU and work with them to end the

crisis without further deterioration of relations with either party. Germany has already begun

this path with US support with the creation of two cease-fires. These recommendations are

derived from the lack of US interest in the conflict other than their desire to curb Russia and the

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high level of involvement that would result from supporting Ukraine which would include arms,

assistance, and many years to have a strong democratic nation that could resist Russia.

The European Union, led by Germany, has maintained unity within and the United States

to combat Russian aggression. Merkel and Obama have been seen as partners in solving this

crisis by working on a diplomatic solution to resolve the crisis. While the EU leads with

economic sanctions and diplomacy knowing that the United States can be the military force as a

last resort. This is important so that the US can help rebuild a stable region with Russia through

its relations with the European Union. Germany can maintain a relationship with Russia without

isolating the country and plunging its economy into chaos. The United States and the EU plan to

do this as a method to prevent Russia from escalating and makes Russia more willing to

negotiate a deal. The Germans have already negotiated two cease-fires and could successfully

negotiate the peace due to lack of hawkish behavior with their greater understanding of Russian

fears and desires. This is seen through the actions already taken such as sanctions and non-

militant options. The sanctions demonstrate the EU’s and the United States’ joint commitment

to combat Russia short term aggression even at the cost of the allies’ long term financial might.

These abilities rely heavily on maintaining a united front, which the US relies on Germany for.

Additionally the relationship that the European Union has built with Russia and Ukraine aids the

US’s cause to end the conflict. The United States’ relationship with Russia is fragile because of

the actions and rhetoric used to condemn its actions. Therefore in order to improve US relations

with Russia; letting the European Union and Germany lead. German Chancellor Angela Merkel

is an asset for this; she speaks Russian but is cautious in her actions against Russia. This is done

through understanding Russia’s motives and rebuilding trust, which the German’s relationship

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with Russia will help the United States by allowing for a source of communication between the

countries.

An improved relationship will allow for the United States and the European Union to

work on rebuilding Ukraine during peace time, possibly with Russia’s help. A strong European

coalition with American support will allow for finance packages and reforms to take place within

Ukraine. Reforms that can start with the EU’s Eastern Partnership that the United States can

support instead of having NATO involved and appearing threatening to Russia. The United

States can work with Europe to reframe the partnership in a way that will stabilize the region,

calm the fears of Eastern Europe and Russia for the long term. This method for the United States

will allow for American influence to be non-threatening to Russia and to gain support within the

region by investing and stabilizing Ukraine. Stabilization of Ukraine will improve relations

throughout the region since the economic situation in Ukraine is at a breaking point. The United

States and the European Union need to work together on stabilizing the currency, controlling

inflation within the country, and help Ukraine control their black market. These reforms must

focus on actual reforms by the Ukrainian government, otherwise the United States and EU will

face a region that is still unstable and could bring them into another escalating conflict. The

European Union has already begun with a new aid package of 1.8 billion euros, which is their

third financial package for Ukraine since 2010. The financial commitment by the EU

demonstrates their commitment to stabilizing Ukraine, which is in American interests.

Ukraine governmental reforms have been a priority for the United States and the

European Union. Reforms that normally are attached to financial packages to Ukraine and are

intended to stabilize the country and the region. The United States can use the bureaucratic

approach of the European Union to appear non-threaten to Russia while implementing reforms in

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Ukraine. Additionally the EU has already worked on some reform programs for Ukraine, such as

the EU-Ukraine action plan in 2008, the 2006 EU-Ukraine summit, and the list of the EU-

Ukraine association agenda priorities in 2011 and 2012. Cornelius Adebahr describes the

reforms, “The EU-Ukraine Action Plan laid out the structural reforms necessary to stave off

economic collapse in the country and provide Ukraine with desperately needed credit…2006

EU-Ukraine summit called for reforming the country’s gas transit system, which is opaque,

corrupt, and dependent upon Russia. The List of the EU-Ukraine Association Agenda Priorities

for 2011-2012 proposed an inclusive constitutional reform process as well as a strengthening of

local self-government to help build a more decentralized political system and greater respect for

cultural diversity” (Adebahr). The United States can work with the European Union to ensure

that the reforms within Ukraine are genuine to prevent another crisis with Russia from occurring.

The reforms can be through non-governmental organization or as conditions with aid packages in

order to stabilize Ukraine.

The United States ability to ally with the European Union will allow for a resolution of

the Ukraine Crisis and work towards prevention of another crisis with Russia. This aids with the

lack of American interests in the region and additionally helps to prevent the sending of troops or

arms to Ukraine which would escalate the situation with Russia. The European Union’s standing

with Russia is greater than the US’s and allows for a diplomatic solution to ending the crisis.

Additionally this relationship creates the ability for the United States and European Union to

help with rebuilding of Ukraine, providing aid packages, and with reforms of their government.

Sanctions with the European Union 

By Ted Gertner 

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The recommended policy for the United States government regarding the economic

sanctions is to let the European Union make the decision on whether to continue them or not. 

This is building on the idea of working with the European Union moving forward with the

handling of the crisis in Eastern Ukraine.  The United States could still play a part in

implementing further sanctions, but ultimately, this would shift the ultimate decision towards the

European Union.  Although this policy would be allowing others to have a say in US policy, it is

much more beneficial than working independently.   

The goal of the sanctions is to put pressure on the Russian government with hopes that

the Kremlin will put an end to the violence in Eastern Ukraine.   While the violence is still

ongoing, the sanctions should continue as they are potent. This is clear since Russia’s economy

is still in a poor condition even with the economic upturn.  However, the power of the sanctions

comes more from the EU rather than the United States since the EU accounts for nearly half of

Russian imports and exports.  The EU trades in higher quantity with Russia compared to the

United States.  Russia loses more in export revenue since, as mentioned previously, the EU was

the largest destination for their exports.  Furthermore, the EU is also the leading exporter to

Russia, which means that Russia loses on imports.  The United States, however, does not play as

large of a role in Russian trade with only 5.3% of Russian imports coming from the US while

exporting less 3% of all exports to the US.  Therefore, the EU needs to be involved in the

sanctions if they are in place to truly cause economic pressure on the Russian government

(Menon). 

Continuing on this line of thought, the sanctions do not matter without the involvement of

the EU.  If the EU were to drop the sanctions, any power against Russia would be lost.  This is

because strictly American sanctions against Russia have no effect.  For one, there is little trade

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between the two nations, but beyond that, there is also less financial activity conducted between

them as well.  If the sanctions were solely American, then the Russian government could conduct

financial activity within the EU leaving them without the necessity of America.  There is also

measurable proof that American sanctions have not worked against Russia by themselves. 

Looking back to 2008, when Russian forces invaded Georgia, President Bush enacted sanctions

against Russia. These sanctions specifically targeted Russian arms firms.  The Russian

government did not react to the sanctions from the United States because it did not really affect

them.  The only sanctions that worried them were ones from the EU that were unlikely to come

into place due to the European financial crisis that was ongoing in 2008.  President Obama lifted

the sanctions.  Overall, the sanctions did not accomplish any goals but, if anything, they may

have caused a strained relationship with Russia (Baker and Sanger). 

The EU will not want to cause Russia to move away from the West since they need

Russia for trade.  The United States would also pay a heavy price if Russia were to turn away

from the EU.  The potential risk of a new agreement between Russia and China would be

worrying for the West for a number of reasons.  First, America would not want its allies hurt. 

Also, Russia turning towards other partners would create more flexibility in their actions as the

threat of sanctions would carry no weight from the West.  Lastly, the United States should

promote the integration of Russia rather than reverting back to past relations.  In short, the

integration of Russia into the Western world is better for the United States than reverting back

towards the state of affairs that existed during the Cold War.  Thus, sanctions against Russia

conducted by only the United States could have an adverse effect (Charap & Sucher). 

Thus, the optimal plan of action is to continue sanctions as long as the European Union

does.  That does not mean that the United States should not play any role in the decision-making

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process, but that the United States should make it clear that the current sanctions are a joint effort

between the EU and the US.  This action, in fact, gives more power to the United States in

helping with diplomatic affairs regarding the crisis in Ukraine.  Beyond that, this policy shows

the strength of the Western alliance and could deter Russia from further action in Ukraine.  There

is a necessity for conditions that Russia must follow to have the sanctions lifted, however. 

Unlike the sanctions raised by President Bush in 2008, there needs to be guidelines that Russia

would need to follow in order to have the sanction lifted.  These guidelines would need to be

jointly agreed upon by the United States and the European Union, but it is plausible that the

United States could take the lead in determining what those guidelines should be.  Thus, the next

section will discuss what the best set of guidelines would be. 

First, the United States should propose some conditions that the EU would require to join

in on the proposed agreement.  Many of the proposed conditions would be the agreeable for both

parties, however, there is one main condition - the EU would need to be included.  The proposed

condition is that Russia must fully cooperate with any investigation into the crash of Malaysia

Airlines Flight 17.  This is still a major issue for the EU since unanimity on sanctions was

reached after the flight was shot down in Eastern Ukraine.  Russia would need to help in finding

those responsible for the crash and bringing them to justice.  As this crash was the breaking point

for the EU, it will be necessary to have any joint set of conditions (Larrabee, Wilson, and Gordon

24-25). 

For the sanctions to be lifted, there will need to be a legitimate ceasefire that lasts a

substantial amount of time.  As seen before, the Minsk Protocol, which agreed on a ceasefire, fell

apart within months of being enacted.  After 4 months, it was no longer in effect as both sides

ended any agreed ceasefire.  Leading up to the complete collapse of the agreement were several

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accusations of each group stating that the other had broken the agreement (Larrabee, Wilson, and

Gordon 25-27).  Thus, there would need to be a ceasefire that would last long enough to ensure

that the peace is kept.  Currently, the Minsk II is in place, but has not ended the fighting.  Minsk

II has not been effective in implementing a true ceasefire since it focuses on certain areas more

than others (The Telegraph).   

The proposed ceasefire would apply to the entirety of any conflict areas where violence

has occurred.  This would mean that both Ukrainian forces and pro-Russian forces must stand

down while any Russian forces would need to withdraw from the area completely.  Once there

has been an end to the violence for a time of at least 5 months, then the sanctions could be lifted

as long as the other terms have been met.  Realistically, this is something that Russia could do

and if they believe that the sanctions will be lifted after a ceasefire, then they may wish to pursue

a continued ceasefire.  Since the Russian economy is still struggling, the Russian government

would benefit greatly from the sanctions being lifted.  The actions of Russia in Ukraine have led

to the sanctions so making a stop of their actions a condition makes complete sense as a policy

for the United States and Europe as well.  Obviously, for a ceasefire to happen, there will need to

be an agreement between the pro-Russian forces and the Ukrainians.  This could be conducted in

a similar manner to the Minsk agreements, but with more EU presence and a possible American

representative as well to ensure that the conditions for Russia are understood and to make sure

that the Ukrainian government understands the agreement put in place. It would not be difficult

to get a representative from Ukraine and Russia and certainly the US and the EU would be

willing to send representatives to hold the talks.

Conditions: Infrastructure and Borders

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Putin claims the only intentions behind the possibility of moving Russian troops into

Ukraine would be to protect ethnic Russians and Russian speakers in the country. Southeast

Ukraine is predominantly populated with pro-Russians and ethnic Russians. In this same region

the majority of Ukraine’s industrial and infrastructural production occurs. As a conditional

agreement to encourage the European Union to reduce sanctions on Russia, a proposed

agreement is to formulate a mutual investment plan in Ukrainian infrastructure.

Investment in anything requires motivating factors for return that exceed the initial

investment. Although Russia would be receiving reduced economic sanctions, that is simply

countering opportunity cost, but is not legitimate return. Investment into Ukrainian infrastructure

is currently an area with one of the highest predictions on capital return (George, 2015). George

Soros, an American billionaire investor stated in an interview that his hedge fund will invest $1

billion into Ukrainian infrastructure because of their research that shows it will be hugely

profitable for whomever that decides to do so, granted their own condition: The West needs to

work with Ukraine to “improve investment conditions” which he described as being the main

reason more people don’t invest in Ukraine, “There is no such thing as a benevolent investor”

(George Soros; George, 2015). Unless outside countries assist Ukraine in reforming its foreign

direct investment policies, there will continue to be no foreign direct investment into a sector that

would clearly benefit both the investors and Ukraine.

Russia claims that for the last two decades they have been investing billions, nearly $200

billion, into Ukraine’s economy through gas, reduced trade prices, and loan programs. Russia

claims that the West seems to overlook this level of contribution that Russia has invested in the

country, not only in profitable sectors. Alexey Ulyukaev stated in an interview with Russia

Today that “Russia is interested in a peaceful and prosperous Ukraine” (Russia, 2014). This

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being prime ground to begin talks, Russia will need to do more than purely invest. Ukraine lacks

a long history of learning from mistakes, and currently the Ukrainian economy is still in the

midst of constant mistake. Russia will need to partner with western countries and Ukraine in

developing plans to reform the institutions that maintain the development of Ukrainian

infrastructure.

Russia has much to gain from this conditional agreement. In accordance with their claims

of protecting ethnic Russians that maintain a majority throughout southeast Ukraine, Russia’s

involvement in the rebuilding of Ukraine’s infrastructural sector (in the East) would directly be

benefiting the predominantly ethnic Russians. In addition, as a highly profitable prospective

investment with the right assistance, Russia could benefit massively in addition to reducing or

even ending EU and US sanctions (Russia, 2014; George, 2015).

In the 1994 Budapest Memorandum, Ukraine signed an agreement to dismantle its

nuclear weapons in return for indefinite security and sovereignty of lands within its borders.

Russia, the US, and the UK all agreed to their end as Ukraine agreed to its. As of late there has

been a lot of talk as to how Russia was able to annex Crimea, invade eastern Ukraine, and all

while ignoring said memorandum (Goncharenko, 2014). Unfortunately, the memorandum never

defined consequences as to the hypothetical reaction if a state did break its side of the bargain. In

reality, everything Ukraine got out of the deal was really nothing more than formality and

improved reputation along with minor Russian and western investment (Goncharenko, 2014).

What was particularly never defined was a military response to a country breaking the

agreement, and that is where Russia builds its argument. In an attempt to develop healthy,

productive, progressive interactions between Russia and Ukraine, it will be vital for the two

countries to develop clear and internationally recognized borders that hold military defense

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conditions if mistreated (Goncharenko, 2014). Russia, like most countries, has a defined policy

pertaining to the invasion of its borders. Ukrainians crossing the Russian border to begin rallying

ethnic Ukrainians would undoubtedly lead to an overt confrontation by Russian troops due to the

absurdity and disrespect, not to mention abuse of international law. While entirely hypothetical

for the purpose of explanation, it goes to show the hypocrisy of Russia's current public confusion

as to why Ukraine is as outspoken about the current situation.

President Poroshenko stated in an interview that “An agreement only makes sense if

Russia would be involved and willing to guarantee Ukraine security,” but claims that he does not

see this being possible. Discussion of a NATO partnership (not full-fledged membership) has

already been discussed, however partnership would mean no true benefits while only managing

to anger Russia more, so the option is off the table. If Russia is unwilling to make an agreement

with Ukraine on border security in return for reduced economic sanctions, than Ukraine will be

forced to begin armed development along the border for more aggressive encounters

(Goncharenko, 2014). The current policy option would require the immediate response of

peacekeeping teams in order to calm the response. Beginning overt war with Russia is the last

thing Ukraine should be doing and there is no way without western assistance that it would

amount to anything. The US would need to maintain a strong stance on keeping dealings political

and not militaristic in nature.

It is vital that the border agreement is acted upon with rapid decisiveness. The current

(although weak) ceasefire has produced a reduced period of military activity and is ideal for the

forming of political and military agreements between Ukraine and Russia. Pro-Russian

separatists will follow Russia’s lead in an agreement to reintegrate the Donetsk-Luansk regions

into Ukraine with agreed upon migration and transnational travel policies. While fighting is at a

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minimum, the groups are more susceptible to reaching an agreement over these border disputes

and not only Ukraine’s divided country can begin to reconcile its differences, but so too can

Ukraine and Russia (Shandra, 2015).

Russia-Ukraine Trade Agreement

By Amelia Peterson

The root of the Ukraine crisis is Ukraine’s decision to seek a trade agreement with the EU in an

effort to broaden their trade possibilities and stabilize the economy. The EU and Ukraine

eventually settled on an associate agreement, which was signed for in 2014 (Ukraine Crisis:

Timeline). This agreement was meant to take place in 2013, but the Ukrainian government

postponed the initialing causing the people to riot and overthrow that regime. The agreement

was eventually signed in 2014, but the Deep and Comprehensive Free Trade Area (DCFTA) has

been postponed by the EU in order to resolve the tension between Russia and Ukraine (Jozwiak).

The EU postponed the DCFTA because of the Russian government’s displeasure over Ukraine’s

alignment with the EU and the disadvantages that the trade agreement will create for Russia.

Signing the association agreement with the EU would mean that Ukraine would be required to

take on near 350 different EU laws, making it that much closer to becoming a member of the EU.

The agreement would also lead to the possibility of Ukraine exploiting its trade with Russia by

purchasing Russian exports without tariffs on trade and selling them from Ukraine to the EU.

Russia would then lose any profit from the tariffs it could potentially receive from the EU. There

has also been backlash concerning Russian oil coming to Ukraine from EU nations that do oil

trade with Russia, because Ukraine is working the system to get the oil that Russia is

withholding.

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If Russia and Ukraine were to form a trade agreement prohibiting Russian goods from being sent

to the EU without Russian tariffs, even when passing through Ukraine, this would likely lead to

Russia being more at ease with the possibility of Ukraine entering the EU. This agreement would

have to include tighter regulations on labeling and origin marking. The Russian government is

currently calling for the agreement between Ukraine and the EU to be opened to Russia or at

least give Russia some say in what happens in this agreement (Speck). At the very least, normal

trade between Russia and Ukraine, supervised by the EU, needs to be resurrected in order to give

Russia peace of mind and to continue to spur the Ukrainian economy (Pomeranz). Ukraine does

the majority of its trade with Russia, and having a trade agreement between Russia and Ukraine

would allow for better trade rates between the two, as well as relieving the pressure to raise the

Ukrainian economy from the EU and the IMF. For Russia to accept this agreement, it would call

for an end to sanctions, which the US and EU would be willing to give for trade and economic

stability.

Recommendations Against

Ukraine Should Not Join NATO

If Ukraine were to join NATO, it would create an easily avoided conflict with Russia. Russia

already views NATO as an enemy entity, and pushing further against Russian borders is not an

intelligent geo-political decision. A military alliance created to contain the Soviet Union

coming nearer to Russia creates a sense of unease. Putin has merely been reacting to NATO’s

continued expansion by fighting against the idea of Ukraine becoming a member . Russia is

more willing to fight for Ukraine than NATO is, because Russia has more at stake in the control

of Ukraine. Russia is responding aggressively because the many Russians consider Ukraine a

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part of Russia, historically and culturally, and because, to Russia, NATO is pressing closer and

closer to home (Walt).

Russia is responding to a deterrence model when a spiral model is what should be in place.

Stephen Walt discussed the idea of spiral models vs deterrence models when it comes to

geopolitics with Russia. The spiral model is used when a nation appears to be behaving

aggressively, but are doing so mainly because it feels threatened or taken advantage of. To use

the spiral model, NATO would have to appease Russia and prove that it had no desire to press

further into the European nations near Russia. It would result in the appearance that NATO was

bowing to Russian power, but in reality NATO would be easing the Russian concerns of lack of

power and importance in the global community. The deterrence model is used when a nation is

looking to threaten other nations with the purpose of expansion, and is often the result of over-

zealous leaders with large egos. To use the deterrence model, NATO would need to respond with

aggression itself and possibly expand into Ukraine to prove its own power (Walt). It would have

to threaten Russia and follow through on those threats, if necessary.

If NATO were to expand and threaten Russia, it would rely heavily on US resources to do so,

even though the US stands to gain very little in the expansion. The US-Russian and Russian-

Ukraine relations would be harmed even further, causing Russia to respond in an aggressive way,

possibly leading to war. War with Russia over Ukraine is not necessary or wise, and the US has

a history of entering wars unnecessarily or with the wrong purpose, like Vietnam or Iraq

(Kissinger). A war with Russia would likely just create further economic strain on all three

nations, and resolve little between Russia and Ukraine. The culture, histories, and economy

linking Russia and Ukraine are to strong to separate without violence.

Do Not Arm Ukraine

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Arming Ukraine would be the US responding to Russia with the deterrence model, even though

it appears that Russia is behaving in a way that warrants the spiral model. Russia has felt the

pressure from the West for quite some time, and NATO’s continued expansion into Europe has

left Russia feeling vulnerable. Whether NATO were to expand into Ukraine or the US were

merely to provide the arms for Ukraine to defend itself, it would insight an aggressive response

from Russia and would likely lead to a war (Walt). With these actions, Russia will be free to use

open warfare rather than continuing its manipulation of the Ukraine economy and its aggression

in East Ukraine. An open war would require even more resources from the US, who has already

pledged 1 billion to Ukraine recently (Monoghan). It would also lead to the deaths of many

people on either sides.

A war between Russia and Ukraine is not likely to stop with just providing Ukraine with

weapons. Ukraine would need weapons, troops, and more money, and the US would feel

obligated to provide these things, similar to their obligations in Iraq or in Vietnam (Kissinger).

Again, the US has a history of going to war without having no adequate way of removing itself

from that war. In the case of Ukraine, the US will have to provide everything it needs to be at

war as well as what is needed to keep the country itself functioning, which would be difficult

because it would become a civil war between East Ukraine and West, as well. Ukraine would

also need more money from the US and the IMF in order to resurrect its economy. Going to war

while being essentially bankrupt would mean that during the war Ukraine would need money for

war resources and to rebuild its economy (Thompson, 2).

Conclusion

The Russian Federation is a major global power that the United States simply cannot choose to

antagonize or ignore altogether. As globalization and modernization continue to bring local issues to the

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global arena, it is vital that the United States bolsters its foreign policy towards fostering relations with

international players instead of dominating them. No matter the region, military intervention is becoming

vastly more expensive and difficult to sustain, and as fundamentalists, separatists, or even the politically

corrupt become more common and powerful, so must our capacity for diplomacy and seeing the value in

international relations over the value in international occupation. What we are recommending is not about

developing an artificial and honestly impossible partnership with Russia. The recommendation is to both

give Russia the ability for it to helps itself, while in return giving the United States the ability to help

others. In offering to end US and EU sanctions towards Russia, the number of those who benefit will far

outweigh the number who the sanctions were targeted to hurt. Additionally, the benefit of assisting allied

countries like Ukraine in its time of need alongside the thousands of people living in war torn countries in

the Middle East presents a position for Russia where "giving in" to US requests does not mean directly

giving to the West, but simply helping those who all countries can agree need assistance. The

recommendation calls on many countries throughout the world in an attempt to further push the

understanding that any global problem can have a global solution.

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Goldgeier, James M., and Michael McFaul. Power and Purpose U.S. Policy toward Russia after the Cold War. Washington, D.C.: Brookings Institution, 2003. Print. 

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Katz, Mark. "Can Russian-US Relations Improve?" Strategic Studies Quarterly (2014): 129-41. Print. Kubicek, Paul. The History of Ukraine. Westport, Conn.: Greenwood, 2008. Print. Nau, Henry R., Andrew C. Kuchins, and Igor Zevelev. "Russia's Contested National Identity and

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87.6 (2008): 12-28. Print. "Ukraine Profile - Timeline." BBC News. BBC News, 24 Feb. 2015. Web. 2 Mar. 2015. "Russia Profile - Timeline." BBC News. BBC News, 24 Mar. 2015. Web. 2 Apr. 2015.

<http://www.bbc.com/news/world-europe-17840446>. 

Russian GeographyAhmed, Nafeez. "Ukraine Crisis Is About Great Power Oil, Gas Pipeline Rivalry." The Guardian. The Guardian Magazine, 6 Mar. 2014. Web. 7 May 2015. Aron, Leon. "The Political Economy of Russian Oil and Gas." American Enterprise Institute. American Enterprise Institute, 29 May 2013. Web. 2 Apr. 2015.Etty, John. "Russia's Climate and Geography." Editorial. History Today Sept. 2007: n. pag. Russia's Climate and Geography. History Today. Web. 01 Mar. 2015."Geography About Russia." Embassy of the Russian Federation in New Zealand. Embassy of the Russian Federation in New Zealand. Web. 2 Apr. 2015. "Geography of Russia." Geography of Russia. University of Michigan. Web. 2 Apr. 2015."Geography of Russia, Landforms." WorldAtlas. WorldAtlas. Web. 2 Apr. 2015.Kennedy, Bruce. "Ukraine Crisis Highlights Europe's Dependence on Russian Energy." CBS Money Watch. CBS News, 4 Mar. 2014. Web. 7 May 2015. Keys, David. "Complex Crimea: The History behind the Relationship between Russia and Ukraine over Crimea." BBC History Magazine 1 May 2011. Web.Kinstler, Linda. "11 Essential Questions About Crimea, Answered." New Republic 7 Mar. 2014. Web.Nazmroaya, Mahdi. "Oil Prices and Energy Wars: The US Empire of "Frack" versus Russia."Global Research - Center for Research on Globalization. Global Research, 5 Dec. 2014. Web. 2 Apr. 2015."Russia." Central Intelligence Agency. Central Intelligence Agency, 1 Jan. 2014. Web. 2 Apr. 2015. "Russia." National Geographic Kids. National Geographic. Web. 2 Apr. 2015. "Russia Population 2014." World Population Review. 19 Oct. 2014. Web. 2 Apr. 2015.

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"Russia." U.S. Energy Information Administration - EIA - Independent Statistics and Analysis. U.S. Energy Information Administration, 12 Mar. 2014. Web. 2 Apr. 2015.Spegele, Brian. "Russia, OPEC Jostle to Meet China Oil Demand." The Wall Street Journal 23 Jan. 2015. The Wall Street Journal. Web. 2 Apr. 2015. Yuhas, Alan, and Raya Jalabi. "Ukraine Crisis: Why Russia Sees Crimea as Its Naval Stronghold." The Guardian 7 Mar. 2014. Guardian News and Media Limited. Web. 2 Apr. 2015.

Economic BackgroundAlbanese, Chiara, and Ben Edwards. "Russian Companies Clamor for Dollars to Repay Debt." WSJ.

Wall Street Journal, 9 Oct. 2014. Web.Birnbaum, Michael. "Russia Imposes Steep Interest Rate Hike as Ruble Plummets." Washington Post.

The Washington Post, 16 Dec. 2014. Web."The Day of Reckoning." Economist 28 Feb. 2015: n. pag. Print."The End of the Line." The Economist. The Economist Group, 22 Nov. 2014. Web.Fabrichnaya, Elena, and Alexander Winning. "Russia Says Ruble Crisis over as Reserves Dive, Inflation

Climbs." Reuters India. Thomson Reuters, 25 Dec. 2014. Web."How Corrupt Is Your Country?" 2014 Corruption Perceptions Index. Transparency International, 2014.

Web. 23 Mar. 2015."Interest Rate Hike Further Darkens Russia's Economic Outlook." The Economist. The Economist

Group, 17 Dec. 2014. Web."International Monetary Fund." IMF -- International Monetary Fund Home Page. N.p., n.d. Web.Kramer, Andrew E. "Russia’s Steep Rate Increase Fails to Stem Ruble’s Decline." The New York

Times. The New York Times, 16 Dec. 2014. Web.Mohammed, Arshad, and Bill Trott. "U.S. Intensifies Sanctions on Russia over Ukraine." Reuters.

Thomson Reuters, 12 Sept. 2014. Web."NASDAQ's Homepage for Retail Investors." NASDAQ.com. N.p., 01 Apr. 2015. Web.Nice, Alex. "Russia Data." Economist Intelligence Unit. N.p., 6 Feb. 2015. Web."Sanctions on Russian Banking, Energy Will Not Bite Quickly." The Economist. The Economist Group,

31 Jan. 2014. Web."Today in Energy." U.S. Energy Information Administration. N.p., 23 July 2014. Web."Ukraine and Russia Sanctions." U.S. Department of State. U.S. Department of State, n.d. Web."What's Gone Wrong with Russia's Economy." The Economist. N.p., 17 Dec. 2014. Web."Why Is Ukraine's Economy in Such a Mess?" Economist 5 Mar. 2014: n. pag. Print."World Bank Group." World Bank Group. N.p., n.d. Web."WORLD TRADE ORGANIZATION." World Trade Organization. N.p., n.d. Web. 201.Zinets, Natalia. "Echoes of the 1990s in Ukraine as Financial Crisis Bites." Reuters. Thomson Reuters,

08 Feb. 2015. Web. 25 Mar. 2015.Political Problems

OptionsArming Ukraine

"Should the United States Arm Ukraine?" Foreign Affairs. February 24, 2015. Accessed April 16, 2015."US Military Chief Backs Arming Ukraine against Separatists." The Guardian. March 3, 2015. Accessed

April 16, 2015.Adebahr, Cornelius. "Europe's Decisive Role to Play in Ukraine." Carnegie Endowment for

International Peace. 7 May 2014. Web. 16 Apr. 2015.

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Champion, Marc. "Three Charts Explain Why Arming Ukraine Is a Bad Idea." BloombergView.com. February 11, 2015. Accessed April 16, 2015.

Collinson, Stephen. "The Risk of Arming Ukraine - CNN.com." CNN. February 6, 2015. Accessed April 16, 2015.

Dreazen, Yochi. "Top U.S. General in Europe: Arming Ukraine ‘Isn’t a Strategy’." Foreign Policy Top US General in Europe Arming Ukraine Isnt a Strategy Comments. March 17, 2015. Accessed April 16, 2015.

Frye, Timothy. "No Good Options." Perspectives on Peace & Security. February 1, 2015. Accessed April 16, 2015.

Gordon, Michael, and Eric Schmitt. "U.S. Considers Supplying Arms to Ukraine Forces, Officials Say." The New York Times. February 1, 2015. Accessed April 16, 2015.

Gorenburg, Dmitry. "West Must Either Commit to Ukraine or Back Off." Perspectives on Peace & Security. February 1, 2015. Accessed April 16, 2015.

Herb, Jeremy. "Obama Pressed on Many Fronts to Arm Ukraine." POLITICO. March 11, 2015. Accessed April 16, 2015.

Marten, Kimberly. "When Threatened, Putin Will Push Back." Perspectives on Peace & Security. February 1, 2015. Accessed April 16, 2015.

Menon, Rajan. "Want to Arm Kiev? Better Have a Plan B." Perspectives on Peace & Security. February 1, 2015. Accessed April 16, 2015.

Minasyan, Sergey. "Appeasement Is Not an Option." Perspectives on Peace & Security. 1 Feb. 2015. Web. 16 Apr. 2015. http://perspectives.carnegie.org/us-russia/appeasement-option/.

Motyl, Alexander. "The West Should Arm Ukraine." Foreign Affairs. February 10, 2015. Accessed April 16, 2015.

Saradzhyan, Simon. "Weapons Won’t End the Conflict." Perspectives on Peace & Security. February 1, 2015. Accessed April 16, 2015.

Speedie, David. "Then and Now: Eight Lingering Questions on U.S.-Russia-Ukraine." Perspectives on Peace & Security. March 1, 2015. Accessed April 16, 2015.

Steinbruner, John. "Is There a Plausible Strategy for the Ukraine Situation?" Perspectives on Peace & Security. February 1, 2015. Accessed April 16, 2015.

Taylor, Guy. "Top GOP Senators Blast Obama Admin’s Waffling on Arming Ukraine Military." Washington Times. February 17, 2015. Accessed April 16, 2015.

Thompson, Loren. "Arming Ukraine: Dubious Logic, Dangerous Consequences." Forbes. Forbes Magazine, 12 Feb. 2015. Web. 15 Apr. 2015. http://www.forbes.com/sites/lorenthompson/2015/02/12/arming-ukraine-dubious-logic-dangerous-consequences/.

Tucker, Joshua. "Expert Analysis on U.S., Russia and Arming Ukraine." Washington Post. February 12, 2015. Accessed April 16, 2015.

Walker, Shaun, Alec Luhn, and Spencer Ackerman. "Ukraine: US Considers Military Help for Kiev as Separatists Plan to Mobilise Army." The Guardian 2 Feb. 2015. Web. 1 Apr. 2015. http://www.theguardian.com/world/2015/feb/02/ukraine-us-considers-miltary-help-kiev-separatists-plan-mobilise-army.

Walt, Stephen. "Why Arming Kiev Is a Really, Really Bad Idea." Foreign Policy Why Arming Kiev Is a Really Really Bad Idea Comments. Foreign Policy, 9 Feb. 2015. Web. 15 Apr. 2015.

Arnold, Richard. "Jamestown Foundation Blog: Surprising Results of Russian Public Opinion Poll on War in Ukraine." Jamestown Foundation Blog: Surprising Results of Russian Public Opinion Poll on War in Ukraine. Jamestown, 10 Feb. 2015. Web. 15 Apr. 2015.

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EU Economic and Diplomatic Aid"How Ukraine's Debt Crisis Affects The European Union." Investopedia. 13 Mar. 2015. Web. 16 Apr.

2015.Crebo-Rediker, Heidi, and Douglas Rediker. "How to Reform Ukraine's Economy." Council on Foreign

Relations. Council on Foreign Relations, 2 Apr. 2014. Web. 16 Apr. 2015.Dempsey, Judy. "It's No Time for EU Wobbling Over Ukraine." Carnegie Europe. 5 Nov. 2014. Web.

16 Apr. 2015.Dempsey, Judy. "Merkel Is the Unsung Hero of Ukraine Crisis." Carnegie Europe. 23 Feb. 2015. Web.

16 Apr. 2015.Higgins, Andrew, and David Herszenhorn. "Germany Pledges Aid for Ukraine as Russia Hails a

Returning Convoy." The New York Times. The New York Times, 23 Aug. 2014. Web. 16 Apr. 2015.

Jarabik, Balazs. "Ukraine Fatigue: To Be or Not to Be (Bailed Out)." Carnegie Moscow Center. 20 Jan. 2015. Web. 16 Apr. 2015.

Kearns, Ian, Steve Andreasen, and Des Browne. "What the West Can and Should Do For Ukraine." Perspectives on Peace & Security. February 1, 2015. Accessed April 16, 2015.

Klion, David. "To Divide the West, Putin Reaches Out to the EU's Weakest Members." World Politics Review, 10 Apr. 2015. Web. 16 Apr. 2015.

Meister, Stefan. "Germany Will Play Decisive Role in Ukraine | Opinion." The Moscow Times. 29 Sept. 2015. Web. 16 Apr. 2015.

Pond, Elizabeth, and Hans Kundnani. "Germany's Real Role in the Ukraine Crisis." Foreign Affairs. 1 Mar. 2015. Web. 16 Apr. 2015.

Speck, Ulrich. "Europe Must Stand Its Ground Against Russia." Carnegie Europe. 30 Nov. 2014. Web. 16 Apr. 2015.

Speck, Ulrich. "German Power and the Ukraine Conflict." Carnegie Europe. 26 Mar. 2015. Web. 16 Apr. 2015.

Speck, Ulrich. "Postponing the Trade Agreement With Ukraine: Bad Move, EU." Carnegie Europe. 30 Sept. 2014. Web. 16 Apr. 2015.

Techau, Jan. "Why the EU Will Fail as Ukraine's Guarantor." Carnegie Europe. 16 Sept. 2014. Web. 16 Apr. 2015.

Trenin, Dmitri. "Europe's Nightmare: Ukraine's Massive Meltdown." Carnegie Moscow Center. 10 Apr. 2015. Web. 16 Apr. 2015.

Not Expanding NATO and US Economic AssistanceAhmed, Nafeez. "Ukraine Crisis Is About Great Power Oil, Gas Pipeline Rivalry." The Guardian. The Guardian Magazine, 6 Mar. 2014. Web. 7 May 2015. Bandow, Doug. "Washington Should Not Defend Ukraine Or Expand NATO: U.S. Should Shift

Responsibility For Europe's Defense to Europe." Forbes. Forbes Magazine, 7 Apr. 2014. Web. 16 Apr. 2015.

Croucher, Shane. "Minsk Ceasefire Deal: Will the Ukraine Crisis Kill Nato?" International Business Times. International Business Times, 12 Feb. 2015. Web. 16 Apr. 2015.

Goncharenko, Roman. "EU Urges Speedy Reforms in Ukraine | Europe | DW.DE | 12.12.2014." DW. DW.DE, 12 Dec. 2014. Web. 16 Apr. 2015.

JULIE, PACE. "Obama Vows Unyielding Commitment To Baltic Allies, Calls Ukraine 'Moment Of Testing' For NATO." Canadian Press, The (n.d.): Points of View Reference Center. Web. 9 Apr. 2015.

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Kissinger, Henry. "Henry Kissinger: To Settle the Ukraine Crisis, Start at the End." The Washington Post. The Washington Post, 5 Mar. 2014. Web.

Larsen, Henrik. "Ukraine's Economy Holds the Key to Stability | Opinion." The Moscow Times. The Moscow Times, 12 Nov. 2014. Web. 16 Apr. 2015.

Mankoff, Jeffery. "Russia's Latest Land Grab." Foreign Affairs. Foreign Affairs, May-June 2014. Web. 16 Apr. 2015.

Monaghan, Andrew. "The Ukraine Crisis and NATO-Russia Relations." NATO Review. NATO Review Magazine, n.d. Web. 16 Apr. 2015.

Shipley, David. "Ukraine Can't Afford NATO." Bloomberg View. Bloomberg, 26 Sept. 2014. Web. 16 Apr. 2015.

SOROIU, Crina. "Case Of Ukraine And Interests Of The Major Players." Research & Science Today 2.8 (2014): 118-125. Central & Eastern European Academic Source. Web. 9 Apr. 2015.

"Ukraine Economy: How Bad Is the Mess and Can It Be Fixed?" BBC News. BBC, 1 May 2014. Web. 16 Apr. 2015.

"US to Offer More Economic Assistance to Ukraine | Business | DW.DE | 13.01.2015." DW. DW.DE, 13 Jan. 2015. Web. 16 Apr. 2015.

Walt, Stephen. "Why Arming Kiev Is a Really, Really Bad Idea." Foreign Policy. Foreign Policy, 9 Feb. 2015. Web. 16 Apr. 2015.

Zuesse, Eric. "Ukraine's Economy Plunges: So, Who Should Pay for It?" Global Research. Global Research, 4 Apr. 2015. Web. 16 Apr. 2015.

Sanctions OptionsAris, Ben. "Impact of Sanctions on Russia." Economic and Political Weekly 34.39 (1999): 2765.

European Leadership Network. European Leadership Network, June 2014. Web. 13 Apr. 2015.Bond, Ian, Christian Odendahl, and Jennifer Rankin. "Frozen: The Politics and Economics of Sanctions

Against Russia." Centre for European Reform. N.p., Mar. 2015. Web. 13 Apr. 2015.Charap, Samuel, and Bernard Sucher. "Why Sanctions on Russia Will Backfire." The New York Times.

The New York Times, 06 Mar. 2015. Web. 13 Apr. 2015.Dreyer, Iana, and Nicu Popescu. Brief Issue (2014): n. pag. European Union Institute for Security

Studies. Dec. 2014. Web. 13 Apr. 2015.Larrabee, F. Stephen, Peter A. Wilson, and John Gordon IV. "The Ukrainian Crisis and European

Security." Rand. Rand Corporation, 2 Apr. 2015. Web. 13 Apr. 2015.Menon, Rajan. "Sanctions Won't Work." Perspectives on Peace and Security. Carnegie Corporation,

Aug. 2014. Web. 13 Apr. 2015.Saunders, Paul J. "Decoding Mixed Messages." Perspectives on Peace and Security. Center for the

National Interest, Aug. 2014. Web. 13 Apr. 2015.Solman, Paul. "Sanctions against Russia: What Will and Won’t Work." PBS. PBS, 28 Mar. 2014. Web.

13 Apr. 2015.Steinbruner, John. "A Moral and Strategic Calamity." Perspectives on Peace and Security. Carnegie

Corporation, Aug. 2014. Web. 13 Apr. 2015.Limiting NATO

US Economic Assistance

RecommendationGeneral Recommendations

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"EU Approves Additional €1.8bn in Financial Aid for Ukraine." - RT Business. 15 Apr. 2015. Web. 16 Apr. 2015.

"European External Action Service." European Union. Web. 16 Apr. 2015. <http://www.eeas.europa.eu/ukraine/index_en.htm>.

"How Ukraine's Debt Crisis Affects The European Union." Investopedia. 13 Mar. 2015. Web. 16 Apr. 2015.

Adebahr, Cornelius. "Europe's Decisive Role to Play in Ukraine." Carnegie Endowment for International Peace. 7 May 2014. Web. 16 Apr. 2015.

Crebo-Rediker, Heidi, and Douglas Rediker. "How to Reform Ukraine's Economy." Council on Foreign Relations. Council on Foreign Relations, 2 Apr. 2014. Web. 16 Apr. 2015.

Dempsey, Judy. "It's No Time for EU Wobbling Over Ukraine." Carnegie Europe. 5 Nov. 2014. Web. 16 Apr. 2015.

Dempsey, Judy. "Merkel Is the Unsung Hero of Ukraine Crisis." Carnegie Europe. 23 Feb. 2015. Web. 16 Apr. 2015.

Jarabik, Balazs. "Ukraine Fatigue: To Be or Not to Be (Bailed Out)." Carnegie Moscow Center. 20 Jan. 2015. Web. 16 Apr. 2015.

Meister, Stefan. "Germany Will Play Decisive Role in Ukraine | Opinion." The Moscow Times. 29 Sept. 2015. Web. 16 Apr. 2015.

Pond, Elizabeth, and Hans Kundnani. "Germany's Real Role in the Ukraine Crisis." Foreign Affairs. 1 Mar. 2015. Web. 16 Apr. 2015.

Speck, Ulrich. "Europe Must Stand Its Ground Against Russia." Carnegie Europe. 30 Nov. 2014. Web. 16 Apr. 2015.

Speck, Ulrich. "German Power and the Ukraine Conflict." Carnegie Europe. 26 Mar. 2015. Web. 16 Apr. 2015.

Speck, Ulrich. "Postponing the Trade Agreement With Ukraine: Bad Move, EU." Carnegie Europe. 30 Sept. 2014. Web. 16 Apr. 2015.

Techau, Jan. "Why the EU Will Fail as Ukraine's Guarantor." Carnegie Europe. 16 Sept. 2014. Web. 16 Apr. 2015.

Trenin, Dmitri. "Europe's Nightmare: Ukraine's Massive Meltdown." Carnegie Moscow Center. 10 Apr. 2015. Web. 16 Apr. 2015.

Sanctions

Conditions to End Sanctions and Recommendations AgainstAdebahr, Cornelius. "Europe's Decisive Role to Play in Ukraine." Carnegie Endowment forInternational Peace. 7 May 2014. Web. 16 Apr. 2015.Baker, Peter, and David E. Sanger. "U.S. Makes Concessions to Russia for Iran Sanctions." The NewYork Times. The New York Times, 21 May 2010. Web. 26 Apr. 2015.Charap, Samuel, and Bernard Sucher. "Why Sanctions on Russia Will Backfire." The New YorkTimes. The New York Times, Mar. 2015. Web. 13 Apr. 2015.Crebo-Rediker, Heidi, and Douglas Rediker. "How to Reform Ukraine's Economy." Council onForeign Relations. Council on Foreign Relations, 2 Apr. 2014. Web. 16 Apr. 2015.Curran, John. "Russian-Ukrainian Conflict Explained." TheHuffingtonPost.com. The Huffington Post, 6

Mar. 14. Web. 30 Apr. 2015.Dempsey, Judy. "It's No Time for EU Wobbling Over Ukraine." Carnegie Europe. 5 Nov. 2014.Web. 16 Apr. 2015.EU Approves Additional â¬1.8bn in Financial Aid for Ukraine. - RT Business. 15 Apr. 2015. Web.

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16 Apr. 2015.European External Action Service. European Union. Web. 16 Apr. 2015.<http://www.eeas.europa.eu/ukraine/index_en.htm>.George Soros Ready to Invest $1bn in Ukraine. RT Business. Russia Today, 30 Mar. 2015. Web. 26Apr. 2015.Goncharenko, Roman. "Ukraine's Forgotten Security Guarantee: The Budapest Memorandum | Europe| DW.DE | 05.12.2014." DW.DE. N.p., 12 May 2014. Web. 26 Apr. 2015.How Ukraine's Debt Crisis Affects The European Union. Investopedia. 13 Mar. 2015. Web. 16 Apr.2015.Jarabik, Balazs. "Ukraine Fatigue: To Be or Not to Be (Bailed Out)." Carnegie Moscow Center. 20Jan. 2015. Web. 16 Apr. 2015.Jozwiak, Rickard. "Explainer: What Exactly Is An EU Association Agreement?" Radio Free Europe

Radio Liberty. Radio Free Europe Radio Liberty, 20 Nov. 2013. Web.Kissinger, Henry. "Henry Kissinger: To Settle the Ukraine Crisis, Start at the End." The Washington

Post. The Washington Post, 5 Mar. 2014. Web.Krist, Bill, and Samuel Benka. "Trade Agreements and the Russia-Ukraine Conflict."Americas Trade

Policy. Washington International Trade Association, 21 Mar. 2014. Web. 30 Apr. 2015.Larrabee, F. Stephen, Peter A. Wilson, and John Gordon, IV. "The Ukrainian Crisis and EuropeanSecurity: Implications for the United States and U.S. Army." RAND. RAND Corporation, 2Apr. 2015. Web. 13 Apr. 2015.Meister, Stefan. "Germany Will Play Decisive Role in Ukraine | Opinion." The Moscow Times. 29Sept. 2015. Web. 16 Apr. 2015.Menon, Rajan. "Sanctions Won't Work." Perspectives on Peace and Security. Carnegie Corporation,Aug. 2014. Web. 13 Apr. 2015.Minsk Agreement on Ukraine Crisis: Text in Full." The Telegraph. Telegraph Media Group, 12 Feb.2015. Web. 26 Apr. 2015.Monaghan, Andrew. "The Ukraine Crisis and NATO-Russia Relations." NATO Review. NATO

Review, 1 Jan. 2014. Web. 30 Apr. 2015.Peter, Laurence. "Can EU-Ukraine Trade Pact Survive Russian Pressure?" BBC News. BBC, 16 Sept.

2014. Web. 30 Apr. 2015.Pomeranz, William. "How to Resolve the Ukraine Crisis-Start with Trade." Americas Trade Policy.

Washington International Trade Association, 14 Oct. 2014. Web. 30 Apr. 2015.Pond, Elizabeth, and Hans Kundnani. "Germany's Real Role in the Ukraine Crisis." Foreign Affairs. 1Mar. 2015. Web. 16 Apr. 2015."Putin's Gambit: How the EU Lost Ukraine." SPIEGEL ONLINE. Spiegel, 25 Nov. 2013. Web. 30 Apr.

2015.Russia Invested $200 Bn in Ukraine over 20 Years - Minister of Economic Development." RTBusiness. Russia Today, 19 May 2014. Web. 26 Apr. 2015.Shandra, Alya. "Minsk Agreement II." Euro Maidan Press. Free Donbas, 12 Feb. 2015. Web. 27Apr. 2015.Speck, Ulrich. "Postponing the Trade Agreement With Ukraine: Bad Move, EU." Carnegie Europe. 30Sept. 2014. Web. 16 Apr. 2015.Sydorenko, Serhiy. "The “delayed” Association Agreement — the Hidden Details."Euromaidan Press.

Ukrayinska Pravda, 16 Sept. 2014. Web. 30 Apr. 2015.Techau, Jan. "Why the EU Will Fail as Ukraine's Guarantor." Carnegie Europe. 16 Sept. 2014. Web.16 Apr. 2015.

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Thompson, Loren. "Arming Ukraine: Dubious Logic, Dangerous Consequences." Forbes. Forbes Magazine, 2 Feb. 2015. Web. 30 Apr. 2015.

"US to Offer More Economic Assistance to Ukraine | Business | DW.DE | 13.01.2015." DW. DW.DE, 13 Jan. 2015. Web. 16 Apr. 2015.

"Ukraine Crisis: Timeline." BBC News. BBC, 1 Nov. 2014. Web. 30 Apr. 2015.