Tuesday, January 07, 2014

America: Hooked on Hegemony




Lord Acton famously stated that power corrupts, and absolute power corrupts absolutely. 

It would appear, however, that the United States has access to a secret Actonian codicil that states, “…but US hegemonic power?  That’s frickin’ awesome!  

Because the United States government seems to be wilfully blind to the costs, perils and abuses inherent in the acquisition and assertion of global hegemony.

Hegemony—the unmatched ability to direct events, as opposed to power sufficient to protect and deter—is unambiguously baked into US policy.

As President Obama put it in a document titled Sustaining U.S.Global Leadership (understandably asserting that US leadership is “demanded” by the world, rather than pursued as a matter of US interests):

I am determined that we meet the challenges of this moment responsibly and that we emerge even stronger in a manner that preserves American global leadership, [and] maintains our military superiority…meeting these challenges cannot be the work of our military alone, which is why we have strengthened all the tools of American power…in a changing world that demands our leadership, the United States of America will remain the greatest force for freedom and security that the world has ever known.



From the Department of Defense’s most recent Quadrennial Defense Review:

America’s interests and role in the world require armed forces with unmatched capabilities and a willingness on the part of the nation to employ them in defense of our interests and the common good. The United States remains the only nation able to project and sustain large-scale operations over extended distances. This unique position generates an obligation to be responsible stewards of the power and influence that history, determination, and circumstance have provided.



And from DARPA:

DARPA’s mission is to maintain the technological superiority of the U.S. military and prevent technological surprise from harming our national security by sponsoring revolutionary, high-payoff research bridging the gap between fundamental discoveries and their military use.    

And from DARPA’s little known brother, IARPA, which serves the CIA, the NSA and the rest of the spook community:

The Intelligence Advanced Research Projects Activity (IARPA) invests in high-risk, high-payoff research programs that have the potential to provide the United States with an overwhelming intelligence advantage over future adversaries.


 It should be noted that the most striking element of the Snowden revelations and the Obama administration’s response is that the NSA was committed to “having it all” i.e. complete surveillance hegemony in all non-US jurisdictions, and appears constitutionally incapable of accepting any theoretical limits on its abilities to intercept any and all communications.

Hegemony is expensive to maintain, in political and social as well as financial terms.  With the US share of the world economy diminishing, it’s not surprising that US hegemony is challenged, more indirectly in terms of disintermediation—the rise of alternate, non-US-centric structures typified by Brazil’s threat to disconnect from the North American Internet—than by direct mano-a-mano confrontations.

The result is creeping instability, instead of the reassuring order that an unchallenged hegemon is expected to provide.

The biggest challenge for US hegemony is Asia. 

In the Middle East, where the decisive regional military force was in the hands of our ally, Israel, our main designated adversary, Iran, was a distinctly third-rate power, the US had the remarkably compliant assistance of NATO to organize and lead its allies, and campaigns against five refractory outfits (Iraq, Afghanistan, Iran, Syria, and Libya) have largely produced outcomes that can be spun as Victory!, the United States still encountered considerable and costly resistance when trying to call the shots. 

What of the Obama administration’s pivot into Asia, where our undesignated adversary, the PRC, has 1.6 billion people, nuclear weapons, and the world’s second-largest economy, and our key ally, Japan, is emerging as an independent regional force?

This is not a recipe for comfortable hegemony, either unilaterally or as master of a regional coalition. 

The key indicator for US hegemon ambitions in Asia is the notorious “AirSea Battle”, a near-pornographic piece of think tank self gratification that recommends a colossal US military buildup in the West Pacific to survive (and of course triumph) in the worst-case scenario of a full spectrum PRC sneak attack against US military assets.

 “AirSea Battle” is currently on hiatus, not because of the improbability of its premise, I suspect, but because of the budget-imploding character of its effort to wangle absolute US military hegemony into the Asian security equation.

Even though “AirSea Battle” is sidelined, as yet I don’t see any indication that the United States has embraced the worrisome implication that absolute US military hegemony in the pricey confines of Asia is an unattainable dream, or that the United States has the awareness, let alone the doctrine or strategy to deal with that most dreadful of contingencies, a “multi-polar world,” in which the United States, like other regional powers India, Brazil, and South Africa, is forced to define, refine, and pursue its interests by haggling with an ever-shifting slate of opportunistic economic, diplomatic, and military partners.

In my yearender for Asia Times Online, I note that in 2013 the Obama administration seemed to acknowledge the existence of an Asian hegemony conundrum in a partial manner and had backed off from the “in your face” confrontation embodied by Hillary Clinton and the pivot.  As a symptom, as opposed to a cause, I point to the migration of the China portfolio away from Susan Rice, President Obama’s first choice for Secretary of State (and author of the Libya and Syria disasters and a reliable dispenser of anti-Russian and anti-PRC vitriol at the United Nations), and into the hands of “go along to get along” (and architect of US-Vietnam rapprochement) John Kerry.

The PRC government is, I believe, hopeful that this development represents an evolution of US thinking away from the “containment by another name” strategy of the Asian pivot, which looked to gather a strategic and economic windfall from heightened tensions between Asian democracies and China, to a more balance-of-power arrangement that recognized the benefits of the US occasionally siding with China to moderate the destabilizing actions of Japan and other Asian countries excessively emboldened by the “pivot”.

Beneath the rancor (and negative coverage) engendered by the PRC’s serial abuse of journalists from prestige Western media outlets this was indeed the case in 2013, as the United States cautiously harvested some geopolitical gains of the pivot, especially Myanmar, but struggled to keep Japan in the “UK poodle” rank of useful ally, and keep it from veering off into the “Israel of the Pacific” class of perpetual security headache and exploiter of US power.

Long term, I’m not optimistic that the US will accept a balance of power arrangement in Asia.

US reasonableness in the Pacific in 2013 was certainly a matter of convenience and tactics, not conviction.

In Eastern Europe, it was containment as usual as the United States and Western forces combined to stick it to Vladimir Putin for his obnoxiously assertive and independent foreign policy.  This included activities like the insertion of Western support to pro-European elements in the Ukraine’s political crisis, and rather childish efforts to ruin Putin’s Olympics for him by announcing the dispatch of gay-heavy delegations instead of national leaders for the Sochi opening ceremonies.

I eagerly await the Pussy Riot concert for President Obama at the Kennedy Center and ecstatic paens in the Western press for this magical convergence of art, activism, and principle.

Anyway, back to Asia.

I expect that once Japan and the United States have achieved a meeting of the minds (which will probably include US acceptance of complete Japanese military reconstruction, abandonment of the pacifist constitution, and sweeping under the rug the realization that Japan is a threshold nuclear weapons power, in return for some public obeisance to the principle if not the reality of US leadership in Asia), the PRC can look forward to a renewed campaign of mischief and pressure.

I posit that the flashpoint may well be Taiwan.

If disapproval ratings for Ma Ying-jyeou, the current KMT supremo, in the mid-70s are any guide, it is quite possible that by 2017 Taiwan’s government will be in the hands of the Democratic People’s Party, traditionally the party of Taiwanese indigenes (as opposed to post ’49 mainlanders) with no interest in mainland “reunification” and a stated preference for formalizing Taiwan’s de facto independence.

Taiwan, from 1895, was the recipient of the undeniably beneficial effects of Japanese imperial attention, and many Taiwanese of the older generation still have strong and positive memories of their relationship with Japan.  Lee Teng-hui, the first indigenous Taiwanese leader of the ROC and a leading figure in the DPP, has made no secret of his preference for Japan over the PRC.  After he left office, he visited Japan and even visited the notorious Yasukuni Shrine to honor his brother, who had died in Japanese service in the 1940s.

Japan’s right-wing nationalists (in whose ranks Prime Minister Shinzo Abe stands, though this is one of those uncomfortable facts that Western journalists fixated on the evils of the PRC and the virtues of democratic Japan seem unable to confront) have cultivated relationships with the DPP in anticipation of the time when a PRC-hostile and Japan-friendly DPP regime may return to power. 

When Su Tseng-chang, chairman of the DPP and likely presidential candidate in the next election, visited Japan in February 2013, Taiwan media reported he intended to meet with Shintaro Ishihara, a high profile Japanese nationalist who had initiated the national purchase of 3 of the Senkaku Islands.  (In my Asia Times Online yearender I stated, perhaps incorrectly, that the meeting took place; Su’s camp stated there would be no meeting, but I suspect this was a term of art as in “no formal one-on-one meeting included in trip agenda” and Su and Ishihara found a way to get together).

A popular view inside the DPP is that the Senkakus belong to Japan; in any case, there is little constituency within the DPP in standing with the PRC against Japan over the islands.

If, in 2017, the DPP is in power in Taiwan and the Abe wing of the LDP still holds sway in Japan, the stage is set for an interesting and rather dangerous escalation, perhaps involving a Taiwanese renunciation of its claim to the islands in favor of Japan.  Worst case, of course, is announcement of a referendum on Taiwan independence supported by the Japanese government. 

In this situation, the United States, faced with the Hobson’s choice of either repudiating Taiwanese independence and the stance of its Japanese ally, or standing shoulder to shoulder with PRC tyranny, is going to find itself with little bargaining room.

And the paradoxical outcome of America’s single-minded addiction to hegemony will be the United States reacting to events in Asia instead of leading them.



Saturday, January 04, 2014

Fred Kaplan Reliably Wrong on Snowden Clemency




Since I pretty much made a meal out of this issue over on Twitter, I’m returning from 140-character land to the reassuringly logorrheic surroundings of my blog to share my thoughts on the Fred Kaplan think piece that made the case for denying clemency to Edward Snowden.

I was rather bemused by the hosannas this piece attracted from certain quarters.  It’s the usual collection of sneering tropes, innuendo, and speculation, marshaled in this case to repudiate a New York Times editorial urging clemency for Snowden.

Kaplan puts his gloss on what he regards as Snowden’s vile shenanigans to conclude that Snowden would not agree to get strapped to a polygraph for a pre-deal debriefing about what Kaplan regards as his disingenous statements about footsie with the Chinese and Russians and thereby asserts (in the title of his piece) that Snowden “won’t (and shouldn’t) get clemency.”

Predicating any Snowden clemency on Snowden inserting himself into the maw of the US security services for a preliminary adversarial debriefing is, quite frankly, such an obvious straw man that I’m surprised Kaplan’s piece was taken seriously.

But it was, by a lot of people, Ian Bremmer and Josh Marshall among others who, I speculate, are profoundly uncomfortable with what Snowden did and need the feeling that a pound of flesh has been extracted from Snowden’s currently safe, sound, and snowbound borscht-swilling hide in order to get closure.

Let me tell you what I think is in play here, and why Kaplan is willfully or obtusely missing the point.

I think the real point of the New York Times appeal for clemency is not to validate Snowden’s actions or opinions; it's damage control.  It is an attempt to right the ship of American security and foreign policy and commerce. 

The US government, in order to renormalize its dealings with its allies, needs to make a high-profile symbolic gesture that the intrusive unilateral surveillance practices of the NSA, abetted by US high tech companies, have been reined in.  Once this ugly transition has been navigated, the US can reclaim the moral high ground and return to strongarming foreign countries to cooperate with the NSA (and buy American high tech products which now look pretty tainted) under the new, Snowden-approved regime.

Per the NYT:

Many of the mass-collection programs Mr. Snowden exposed would work just as well if they were reduced in scope and brought under strict outside oversight, as the presidential panel recommended.

In other words, it’s all better, the US has come to terms with the extra-legal and/or excessive nature of some NSA practices, we’re the good guys again, Look! We even gave clemency to Snowden!  And you better keep buying Cisco routers!  Or else!

My personal opinion is that the New York Times suggested clemency for Snowden, as opposed to a presidential pardon, in order to throw a bone to the anti-Snowden crowd by acknowledging he had broken the law and not ruling out the possibility that he had harmed certain US-related interests.  

I refer interested readers to the Scooter Libby sentence commutation controversy for additional discussion (and suggest that the NYT may have shaped its Snowden proposal around the Libby case, where arguably rather dirtbag behavior was excused by the president with limited fuss, muss, and sustained public indignation for reasons of White House morale and partisan inclination, rather than any overarching foreign policy goal).

Unfortunately, clemency raises a new set of issues because it is traditionally granted for cause after the recipient has paid his debt to society with a certain amount of time in the slammer.  Maybe the NYT should have proposed a straightforward pardon for Snowden on the grounds of national interest.  Asserting clemency on grounds of equity, on the other hand, opens up the whole can of factual and evidentiary worms for Kaplan and other Snowden detractors to dig in.

I find it amusing that Kaplan’s contemptuous rejection of the clemency gambit, because it was coupled with a recognition that conditions did not yet obtain for trying Snowden for treason, was hailed as some piece of high-minded objectivity.

Tough minded pundits like Fred Kaplan are supposed to look beyond their emotions, look beyond concepts of justice, to make the tough calls to protect American interests.

In this case, the US interest would seem to reside in using a Snowden clemency to hang some faux-reform bunting on Castle Greyskull, the NSA's fortress headquarters in Fort Meade.

By attempting to foreclose clemency, Kaplan is not lifting a middle finger to Snowden or the New York Times; he is flipping off the Obama administration, the US security empire, and the US high tech industries, all of whom are trying to cope with the genuine Snowden effect: the incremental disintermediation of the United States from the world communications, data, and surveillance empire that they had themselves created.

When I read Kaplan’s article, I was reminded of that scene in Airplane! (funny only in a rather creepy way, I must say), where passengers line up to slap a hysterical passenger.


In this case, I imagine Kaplan facing the ire of a long line of US government and private interests, with world influence, security assets, and billions of dollars of contracts at stake, all trying to slap some sense into the guy.  


$5 billion in contracts for Cisco routers!  Slap!  The Brazilian Internet repiped away from the United States! Slap!  The PRC making the moral case against US global surveillance!  Slap!  Angela Merkel can’t let us listen to her cell phone!  Slap!


Yeah, I know, a lot of people think we should be slapping Snowden instead.  Point is, Snowden’s already done what he’s going to do.  It's water under the bridge.  In B-school speak, it's a sunk cost.


The real question is, What is the US going to do about it?  What is Fred Kaplan going to do about it?  


I recall a passage from Kaplan’s clemency slam:


But one gasps at the megalomania and delusion in Snowden’s statements, and one can’t help but wonder if he is a dupe, a tool, or simply astonishingly naïve.

Hmmm.  Pot...kettle...pot...kettle

[After posting this, it occurred to me that perhaps the Kaplan strategy is simply to unfurl the banner of defiance and stick to the line that the problem wasn't Snowden's revelations but the fact that Snowden revealed them.  If so, the appearance of the New York Times editorial and the realization that the foreign policy and media elites were not standing shoulder-to-shoulder would have been a nasty knock.  CH, 1/4/14]

I don't think Edward Snowden is going to get clemency.  But I think it's interesting that the NYT, perhaps working with some people inside the Obama administration, decided to float this trial balloon. And I'm still struck by the emotions that this case continues to arouse.

Thursday, January 02, 2014

When Your Phone Is Not Your Friend

Gadzooks!  They've cracked the iPhone!?

Newly leaked documents from the National Security Agency highlight Dropout Jeep, a piece of software that could target one of the country's most popular devices -- the iPhone. 

According to documents published by the German news website Spiegel Online and dated Oct. 1, 2008, Dropout Jeep would give the NSA the ability to retrieve contact information, read through text messages, listen to voicemails and even turn on the iPhone camera and microphone.

The document goes on to say that while Drop Jeep was currently limited to installation through "close access methods," the NSA would research ways to install the program remotely in future versions. 

If you're wondering how the NSA developed this fiendish capability, fingers are being pointed at Apple, but a trip through the Wayback machine suggests another possible culprit:

From a 2011 article by Mark Elgan at Computerworld:

Cellphone users say they want more privacy, and app makers are listening.

No, they're not listening to user requests. They're literally listening to the sounds in your office, kitchen, living room and bedroom.

A new class of smartphone app has emerged that uses the microphone built into your phone as a covert listening device -- a "bug," in common parlance.

...
The issue was brought to the world's attention recently on a podcast called This Week in Tech. Host Leo Laporte and his panel shocked listeners by unmasking three popular apps that activate your phone's microphone to collect sound patterns from inside your home, meeting, office or wherever you are.
...
The new apps are often sneakier about it [than older apps, which were activated by users in order to identify a song that was playing, etc.--CH]. The vast majority of people who use the Color app, for example, have no idea that their microphones are being activated to gather sounds.

Welcome to the future.

...
[M]arketers love cellphones, which are viewed as universal sensors for conducting highly granular, real-time market research.

Of course, lots of apps transmit all kinds of private data back to the app maker. Some send back each phone's Unique Device Identification (UDI), the number assigned to each mobile phone, which can be used to positively identify it. Other apps tell the servers the phone's location. Many apps actually snoop around on your phone, gathering up personal information, such as gender, age and ZIP code, and zapping it back to the company over your phone's data connection.

Methinks it would behoove consumers wondering how the NSA might get into their iPhones to hie themselves to their local App Store.

A little further back in the Wayback machine brings us to the analog era, my favorite, when all that was needed to turn your home phone into a microphone was some fiddling at the telco switch.  From Bloomberg in 1999:

It's hardly a secret that phone taps are a favorite ploy of industrial spies as well as law-enforcement agencies. What isn't well-known is that the phone doesn't even have to be off the hook to be tapped. It's possible to activate a hung-up phone remotely and use it to eavesdrop. This techno-trick recently came to light as a result of a drug dealer's court case in the Netherlands--but it is said that the technique will work on virtually any phone anywhere.

I remember reading somewhere that this was a much-cherished technology for various British intelligence outfits working through British Telecom and its previous incarnation, Post Office Telecommunications.

And from Mark Bowden's book on the US-assisted manhunt for Pablo Escobar in the early 1990s, Killing Pablo, here is a nugget from the analog cell phone era which, I expect, still applies today:

There was another nifty secret feature to Centra Spike's capability [a US Army sigint outfit that, unlike the NSA, was tasked with providing tactical intelligence to special operations--CH].  So long as their target left the battery in his cell phone, Centra Spike could remotely turn it on whenever they wished.  Without triggering the phone's lights or beeper, the phone could be activated so that it emitted a low-intensity signal, enough for the unit to get a fix on its general location...
With this background, the extravagant cybercaution of Brookings China wonk Kenneth Lieberthal is understandable:

When Kenneth G. Lieberthal, a China expert at the Brookings Institution, travels to that country, he follows a routine that seems straight from a spy film.

He leaves his cellphone and laptop at home and instead brings "loaner" devices, which he erases before he leaves the United States and wipes clean the minute he returns. In China, he disables Bluetooth and Wi-Fi, never lets his phone out of his sight and, in meetings, not only turns off his phone but also removes the battery, for fear his microphone could be turned on remotely. He connects to the Internet only through an encrypted, password-protected channel, and copies and pastes his password from a USB thumb drive. He never types in a password directly, because, he said, "the Chinese are very good at installing key-logging software on your laptop."
 I have a feeling that Mr. Lieberthal's countermeasures are informed both by awareness of PRC perfidy, and knowledge of the immense penetration and surveillance capabilities the industrial-security partnership has brought to the telecom and networking game around the world.

If you're in China--or anywhere else--that phone in your pocket: it's not your friend.



Wednesday, January 01, 2014

Abe Sees More Assertive Japan Across Entire World




Japanese Prime Minister Shinzo Abe said, in remarks published Sunday, that he expected his country to be playing a more assertive security role throughout "the entire world" -- and have a new constitution to back this ambition.

…Punch line is, this AFP article (including the headline used as the title of this post) is datelined April 22, 2007, during Abe’s brief, first prime ministership.  

In 2007 PRC "assertiveness" was not on the table.  In fact, at that time the George W. Bush administration was looking forlornly for the PRC’s help on the intractable North Korean issue.  The problem, in other words, was not that China wasn’t being “assertive”; it was that the PRC was being insufficiently “assertive” in stepping up on the world stage and shouldering its “responsible stakeholder” obligations, a phrase that has rather ironically evaporated from the State Department’s China-bashing lexicon in recent years.

Without an easily exploitable China menace, Prime Minister Abe, in order to peddle his constitutional revision nostrums and enable the projection of Japanese power beyond the nation’s boundaries, had to lean on the relatively slender reeds of the a) the North Korean menace b) global terrorism.

Here’s more from 2007.

Meanwhile this year, Japan converted its defense agency into a formal ministry of defense, a move that was interpreted by many as a clear indication of the Abe government's intent to free itself from some of the shackles of the post-war, US-authored constitution.

When asked about his plans, the prime minister said there were provisions in the constitution "that no longer suit the times."

"The security environment surrounding Japan and the entire world has undergone major change," he explained. "There has been proliferation of weapons of mass destruction, the fight against terrorism and regional conflicts arising here and there."

Certainly, the Abe of 2007, like the Abe of 2013-14, always had rising China at the back of his mind.  In 2007, Abe was very much in step with the China-containment preoccupations of Vice President Dick Cheney, who went rogue and, with Abe’s support, attempted to cobble together an informal alliance of India, Australia, Japan, and the United States to confront the Chicom menace.

However, it should be remembered (and I find it just a touch frustrating that it isn’t) that the first “assertive” power in East Asia was Japan, not the PRC.  In fact, a lot of what went on in the South China Sea and the Senkakus--especially the ruckus surrounding the inflammatory decision to detain and try Captain Zhan in Japan, and the nationalization of three of the Senkakus--could be construed as Chinese reaction to a more assertive Japanese posture.  That makes recent headlines like these look less like reporting and more like ahistorical special pleading on behalf of the Japanese defense buildup:

Sept. 2012

Japan adopts new security strategy to counter assertive China


Dec. 15, 2013

Japan to beef up defense due to assertive China, review arms embargo


Dec. 17, 2013

Points I’d like to make.

First, Japan is “assertive”.  It has been at least since 2007.  After Abe left office and Seiji Maehara was running the foreign affairs show, Japan was assertive.  Now with Abe back, Japan is still assertive.

Second, Japan’s determination to revolutionize its military posture--convert its Self Defense Forces into a conventional military, conduct a sizable military buildup, underwrite the security posture of several Pacific countries, return to arms exports for the first time in fifty years, allow pre-emptive strikes against North Korea and, if and when the pacifist constitution is revised, conclude collective security agreements with key Asian allies--is considerably more destabilizing than the PRC’s intransigence on the various inconsequential and long-standing border disputes with its neighbors.

I should say that I am, perhaps remarkably, not opposed to Japan’s determination to restore its full national sovereignty in matters of what is euphemistically called “defense” or “security” or, in Abe’s magnificent formulation, “active pacifism” and what I call "blowing things up and killing people" a.k.a. “overseas warmaking capabilities”.  This is an ineluctable process, indeed spurred by Japan’s unwillingness to exist as a second-class citizen in East Asia in China’s shadow relying on PRC sufferance for its economic and national security.

However, the return of the world’s fifth largest military to an explicit warfighting role creates major security stresses for the region and the world, and I am honestly baffled by the idea that the United States and the rest of the region, including China, do not have a legitimate interest in explicitly mediating Japan’s military transition.

The idea that Japan, by virtue of the fact that it is a democracy and key U.S. ally, should be exempt from such concerns and, instead, the “assertive China threat” should be mindlessly peddled as an excuse for a Japanese policy that is fundamentally active, not reactive, is to me, extremely questionable.

For one thing, the idea that democracies are inherently more peaceful than authoritarian regimes is a canard that I think is ready for retirement.  Democracies are politically and socially more robust than authoritarian regimes and can handle the stresses of war much better, especially since the current recipe calls for fewer boots on the ground and a healthy dose of stand-off munitions and death a la drone instead.  Saddam Hussein was a serial warmonger, but when was the last time Kim Jung Un, Vladimir Putin*, Muammar Qaddafi—or for that matter, the PRC leadership—started a war?  And who has a pretty good track record for starting wars over the last fifteen years?  I think you get my point.

For that matter, PM Abe’s inclinations tend toward the LDP oligarch end of the spectrum, with a strong dash of nationalism and a streak of authoritarianism.  The LDP’s current good fortune in holding veto-proof majorities in both legislative branches and competing with opposition parties that are in complete disarray imply that democratic checks will not be decisive over the next couple years.  

Finally, I’ve argued repeatedly and I think persuasively that Japan’s ambitions toward security independence undercut the argument that Japan will serve as a tractable ally.  Instead, I see Japan enlarging its capacity to advance its own national goals by leveraging U.S. diplomatic and military support—and by using and cultivating tensions with the PRC to smooth the way.  The United States, by hyping the China threat, particularly under Secretary Clinton, has brought this problem on itself to a certain extent.

“Assertive” Japan exists.  Get used to it and, if possible, deal with it.

[*]  No, Russia did not start the Russia-Georgia War in 2007.  The other guy did.  I find it amusing that the West, led by the US, immediately pledged $4.5 billion—including $2 billion in grants, not loans-- to Georgia to help it rebuild after losing the war it had itself started.  In fact, the World Bank had estimated that only $3.2 billion was needed since the bulk of the destruction occurred in the breakaway region of Ossetia, which bore the brunt of the Georgian attack.

So I guess that the extra $1.3 billion in pledges were meant to reward Georgia for its otherwise unproductive loyalty to the EU, the Western bloc, and the United States.  “Assertiveness” has its privileges, for some countries, anyway.   

The Russians got the job of rebuilding Tskhinval, the town in breakaway Ossetia that the Georgians had largely leveled during the attack; that cost somewhere around 8 billion rubles.

Photo of post-war Tskhinval from ITAR-TASS