Monday, February 26, 2007

Iran Nuclear Talks May Lead To More Sanctions

So Iran has painted themselves into a corner and given Russia and China, their two top allies, no real choice in setting sanctions against them for their continued defiance in the nuclear issue. There is no real illusion that Iran has stopped enrichment of uranium and looks at the UN with disgust. The only issue now is how much is it going to cost Iran? That's what world powers are meeting about as we speak.

I think this is issue is going to cost President Ahmadinejad very dearly. Europe is considering reducing or eliminating subsidies that Iranian businesses have depended on for a while and that will create dissent among business leaders who will see their pockets shrink considerably. Is Iran willing to pay a tremendous economic penalty so that they can "create electricity"?

What I think is happening now is that Russia and China are working with Iran to find a way that allows Iran to back off of the nuclear deal but still save face in the eyes of the Iranian public and on the international stage. Iran simply can't afford to have further sanctions placed upon them and they are simply being stubborn about it and are not looking at the larger picture.

Travis
travis@rightwinglunatic.com

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