June 04, 2007 ... It's the economy, Stupid.

With the Russian economy entirely dependent on its international capital reserves, and not content with threatening to cut off gas supplies to the European Union (EU), cancelling Shell and BP oil and gas contracts and expropriating assets and technology, banishing or imprisoning Russia’s entrepreneurs and probably having sanctioned the assassination of Alexander Litvinenko in London with the use of Polonium 210, Vladimir Putin now sees his best option to be the development of a new and innovative line of nuclear missiles directed at Europe as a calibrated response to America’s installation of anti-missile defence technology in Eastern Europe as a possible counter to missile strikes from Iran.

Vladimir Putin has insisted that Iran has no capability to launch any such strikes, and any anti-missile defence system is obviously a provocation towards Russia, which Russia must respond to. But this is contrary to the facts. Russia, in consort with its Chinese and North Korean allies, is supplying Iran with the technology that Iran currently does not have to strike Northern Europe, but does have to strike Israel,Turkey and the Eastern European member-states of the EU.

It is claimed by some political commentators that Vladimir Putin is seeking the respect he thinks is not forthcoming form other world powers. But if he really wants such respect, as in admiration of achievements as opposed to the respect achieved through fear, he should turn his attention towards proper economic policies that will truly increase Russia’ prosperity and encourage entrepreneurs to work and live in Russia, instead of fleeing in droves. The threat of an imminent missile strike has never achieved this outcome, and Vladimir Putin has still to learn that lesson.