Carnegie Moscow Center
The Obama administration must realize that no “foreign policy” issue will matter as much to global economic, political, and ultimately security conditions in the coming year as whether the United States can demonstrate that it is able to deal with its economic crisis.
The world is seeking leadership from U.S. President Obama on a range of foreign policy challenges, from Iran’s nuclear program to Sino-U.S. relations.
According to this year’s Transatlantic Trends survey, majority opinions toward Russia on both sides of the Atlantic have turned from favorable to unfavorable, while Russian opinions of the West was generally favorable.
The current economic crisis presents Europe with serious challenges, but also with the opportunity for reflection and change.
As Italian and Spanish spreads on government bonds decline, Europeans are breathing a big sigh of relief. But true recovery requires big structural shifts that will take many years.
Russia faces serious economic challenges, including a demographic crisis, corruption, weak enforcement of property rights, and over-reliance on hydrocarbons. A combination of structural political and economic reforms is required to save the country from stagnation.
With recent financial headlines echoing those just before the bankruptcy of Lehman Brothers, European and U.S. policymakers must take urgent steps to reduce risk and prepare for bad times ahead.
The chilling of the Arab Spring, Iran's nuclear program, Iraq after the U.S withdrawal, and the continuing European financial crisis are just some of the key issues facing the international community in 2012.
French President Sarkozy’s request for Chinese money in support of the euro rescue symbolized three historic shifts in great power relations: the fragility and endangerment of the European project, the ascendance of China, and the beginning of the end of the American era.
After a year that included the Arab Awakening, the euro crisis, Japan’s nuclear catastrophe, the killing of Osama bin Laden, and the unanticipated reaction to Russia’s recent parliamentary elections, there are many unanswered questions left for 2012.