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RAJIV GANDHI NATIONAL UNIVERSTY OF LAW, PUNJAB

HISTORY PROJECT SEMESTER -2

THE COLD WAR- HISTORICAL PERSPECTIVE AND US-RUSSIA RELATIONS

Submitted By: Submitted to:

SAVI JAIN (24166) Dr. Rachna Sharma
AANANDITA DHINGRA (24213) (Assistant Professor- History)
SECTION-C Dr. Sourav Kumar

CLASS OF 2029 (Assistant Professor-Political

Science)
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DECLARATION

I hereby declare that the project report entitled “The Cold War- Historical Perspective and
US-Russia Relations” to Rajiv Gandhi National University of Law, Punjab, Patiala is an
outcome of my original work carried out under the supervision of Dr. Rachna Sharma and Dr.
Sourav Kumar . The Project is based entirely on my research work and has not been submitted
elsewhere. All the ideas and references have been duly acknowledged. To the best of my
understanding, the project is free from plagiarism.

Aanandita Dhingra

Savi Jain

Rajiv Gandhi National University of Law, Punjab, Patiala

1/03/2025
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SUPERVISOR’S CERTIFICATE

This is to certify that the project report entitled “The Cold War-Historical Perspective
and US-Russia Relations” submitted to Rajiv Gandhi National University of Law, is an
original work carried out by Savi Jain and Aanandita Dhingra under my supervision and
guidance for further evaluation.

Dr. Rachna Sharma

Dr. Sourav Kumar

Assistant Professor of History

Assistant Professor of Political Science

Rajiv Gandhi National University of Law, Punjab, Patiala

1/03/25
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Table of Contents
1. INTRODUCTION ...................................................................................................................5
2. ORIGINS OF COLD WAR .......................................................................................................7
2.1 Phase 1: Ideological Conflict – Communism vs. Capitalism............................................7
2.2 Phase 2: The Truman Doctrine (1947) and the Containment Policy ..................................8
2.3 Phase 3: The Iron Curtain and the Emergence of Two Power Blocs ..................................9
3. Major Cold War Confrontations and Proxy Wars ................................................................... 11
3.1 The Cuban Missile Crises ............................................................................................ 11
3.2 The Soviet Afghan War (1979-1989) .............................................................................. 11
3.3 The Berlin Blockade (1948-1949) ................................................................................. 11
3.4 Space Race ................................................................................................................ 12
4. THE END OF COLD WAR AND IT’S IMMEDIATE AFTERMATH .............................................. 13
4.1 Fall of Berlin Wall .............................................................................................................. 13
4.2 Dissolution of Soviet Union ............................................................................................... 14
4.3 Russia’s transition to market economy in 1990s ................................................................. 16
5. The Cold War’s Influence on Contemporary Geopolitics ...................................................... 17
6. CONCLUSION .................................................................................................................... 20
7. BIBLIOGRAPHY .................................................................................................................. 23
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1. INTRODUCTION

The Cold War was a characteristic 20th-century geopolitical struggle, anchored in the clash
of communism and capitalism ideologies. After World War II, tensions between the Soviet
Union and the United States increased as the superpowers competed for influence. The
United States, which believed in free-market economies and democracy, perceived Soviet
communism as compromising world stability. To counter Soviet expansion in Eastern
Europe, the U.S. embraced the Truman Doctrine (1947) and the policy of containment, with
the objective of stopping the expansion of communism globally. The world was soon
divided into two power blocs, divided by the Iron Curtain, with the Western alliance led by
NATO and the Soviet-dominated Warsaw Pact ruling the East.

As the Cold War deepened, several confrontations and proxy wars defined global politics.
The Berlin Blockade (1948-49) was one of the first crises, illustrating Soviet belligerence
and leading to a Western reaction by the Berlin Airlift. The Cuban Missile Crisis (1962) led
the world to the edge of nuclear war, underlining the risks of the arms race. The war also
spilled over into indirect conflicts, like the Soviet Afghan War (1979-89), in which the U.S.
supported Afghan resistance groups against Soviet invasion. Meanwhile, competition
moved beyond military encounters into technological competition, especially via the
Space Race, as the two superpowers vied for dominance in space exploration.

The Cold War peaked in the late 1980s, climaxing with the fall of the Berlin Wall (1989) and
the dissolution of communist governments in Eastern Europe. In 1991, the Soviet Union
collapsed, officially ending the Cold War and cementing the United States' place as the
world's leading power. Russia, conversely, began to shift towards a market economy but
experienced domestic turmoil in the 1990s as it adapted to its new political and economic
landscape.

Even after the end of the Cold War, its legacy continues to influence modern geopolitics.
Russia-China relations have become a Cold War-style strategic partnership, while NATO
expansion and Russia's resultant responses, including the current conflict in Ukraine, are
evidence of ongoing tensions between Russia and the West. International institutions like
the UN, G20, and BRICS also play important roles in balancing global power, with BRICS
becoming a possible counterbalance to Western hegemony.
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This project investigates the beginnings, key confrontations, and legacy of the Cold War
while examining its enduring influence on contemporary international relations.
Understanding these developments will enable us to better comprehend.
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2. ORIGINS OF COLD WAR

The Cold War was the most important political and diplomatic issue of the early postwar
period. It grew out of longstanding disagreements between the Soviet Union and the United
States that developed after the Russian Revolution of 1917. The Soviet Communist Party
under V.I. Lenin considered itself the spearhead of an international movement that would
replace the existing political orders in the West, and indeed throughout the world. In 1918
American troops participated in the Allied intervention in Russia on behalf of anti-Bolshevik
forces. American diplomatic recognition of the Soviet Union did not come until 1933. Even
then, suspicions persisted. During World War II, however, the two countries found
themselves allied and downplayed their differences to counter the Nazi threat.

2.1 Phase 1: Ideological Conflict – Communism vs. Capitalism

A primary factor for the Cold War was the long-standing ideological rivalry between the US
and the USSR. The United States, a capitalist democracy, supported individual liberty,
private entrepreneurship, free market economies, and liberties. However, under Joseph
Stalin's leadership, the Soviet Union focused on promoting communism, which is
predicated on social ownership, a one-party system, and state-supervised economies.
After the 1917 Russian Revolution, the Soviet Union's collapse as the first communist state
was a major factor in widening the divide between these two superpowers.
Western nations, particularly the United States, backed anti-Communist parties
throughout the civil war because they disliked the Bolshevik regime. Despite their
cooperation during the World Wars because they were fighting the same foe, the United
States and the Soviet Union had no genuine political goals other than to oppose Nazi
Germany.
When World War II ended in 1945, ideological disputes began to resurface. It was unlikely
that the Soviet Union would be able to carry out its ambitious plan to expand its power by
installing communist governments in Poland, Bulgaria, Romania, Hungary, and
Czechoslovakia. Stalin justified this expansion as a means of creating a buffer zone to
protect the USSR from future invasions, `recalling the devastating Nazi invasion of 1941.
The United States, however, saw Soviet expansionism as a direct threat to democracy and
capitalism.
Stalin defended this expansion by pointing to the devastating Nazi invasion of 1941 and
arguing that it would create a buffer zone to protect the USSR from future invasions.
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However, the US viewed Soviet expansionism as a direct danger to capitalism and

democracy. The two countries became more distrustful of one another because of the
ideological gap. As Allied leaders sought to establish the post-war order at the Yalta
Conference in February 1945 and the Potsdam Conference in July 1945, tensions were only
made worse.
At Yalta, Stalin agreed to allow free elections in Eastern Europe, but by the time of the
Potsdam Conference, he had begun consolidating communist rule in these countries. This
was viewed as a betrayal by Western leaders, particularly U.S. President Harry Truman and
British Prime Minister Winston Churchill. Another major source of conflict was the nuclear
arms race. The United States successfully tested and used atomic bombs on Hiroshima
and Nagasaki in August 1945, effectively ending World War II. However, this also
demonstrated American military superiority, alarming the Soviet Union. In response, the
USSR accelerated its nuclear program, leading to an arms race that became one of the
defining features of the Cold War.

2.2 Phase 2: The Truman Doctrine (1947) and the Containment Policy

As Soviet influence increased in Eastern Europe, the United States devised a strategy to
halt the rise of communism. In March 1947, President Harry Truman announced the
Truman Doctrine, which included the specifics of this strategy. The United States will
provide military and economic help to nations threatened by communist insurgencies, it
declared. Under Truman, the United States should support "free peoples who are resisting
attempted subjugation by armed minorities or by outside pressures." Containment:
deliberately stopping communism from spreading. In order to forestall communist
uprisings and restore war-torn Europe, the Marshall Plan (1948) was an economic recovery
program that further strengthened the containment strategy.
The Soviet Union created the Council for Mutual Economic Assistance (COMECON) in 1949
with the goal of fostering closer economic connections among communist countries in
response to Western economic assistance, which it first proposed in 1947 under the
Molotov Plan. This economic split between the East and the West cemented the division of
the Cold War. A crucial point in this period was the Berlin Blockade (1948–1949). Stalin
established a blockade, preventing all land and rail access to West Berlin, in response to
the Western powers' introduction of a new currency in the city.
In response, the United States and its allies launched the Berlin Airlift, which sent food and
supplies to West Berlin for almost a year until Stalin's lifting of the siege in May 1949. This
incident led to the creation of NATO the same year and illustrated the escalating animosity
between the two superpowers. North Korea, assisted by China and the USSR, invaded
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South Korea, which was defended by American and UN forces, in the Korean War (1950–
1953), which became the first significant military war of the Cold War. The war's stalemate
strengthened American resolve to keep communism in check globally.

2.3 Phase 3: The Iron Curtain and the Emergence of Two Power Blocs

Winston Churchill is credited with coining the term "Iron Curtain" in a speech he gave in
March 1946 to warn of Soviet dominance in Eastern Europe. The Iron Curtain represented
the ideological and military isolation of the capitalist West from the communist East, in
addition to its physical separation.
Two separate power blocs had emerged by the early 1950s:
• The Western Bloc, which was he1added by the US and comprised nations like Canada,
South Africa, France, Italy, and West Germany.
• The Eastern Bloc, which was dominated by the Soviet Union and included communist
countries like Poland, Czechoslovakia, Hungary, Romania, Bulgaria, and East Germany,
was unified under NATO (North Atlantic Treaty Organization), a military alliance established
in 1949 to protect against Soviet aggression.
This division was further cemented by the construction of the Berlin Wall in 1961, which
physically divided East and West Berlin, signifying the deep ideological divide of the Cold
War. During this time, the nuclear arms race was intensified, with both superpowers
developing intercontinental ballistic missiles (ICBMs) and stockpiling weapons. The Cuban
Missile Crisis in 1962 brought the world to the verge of nuclear war, highlighting the extreme
tensions bet2ween the U.S. and the Soviet Union. As the Cold War went 3on, conflicts like

1
Satterthwaite, Joseph C. "The Truman Doctrine: Turkey." The Annals of the American Academy of Political
and Social Science, vol. 401, America and the Middle East, May 1972, pp. 74-84. Sage Publications, JSTOR.

2
Schaefer, Sagi. "Hidden Behind the Wall: West German State Building and the Emergence of the Iron
Curtain." Central European History, vol. 44, no. 3, Sept. 2011, pp. 506-535. Cambridge University Press,
JSTOR.

3
Lippmann, Walter. "The Cold War." Foreign Affairs, vol. 65, no. 4, Spring 1987, pp. 869-884. Council on
Foreign Relations, JSTOR, doi:10.2307/20043099.
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the Vietnam War (1955–1975), the4 Soviet invasion of Afghanistan (1979–1989), and
numerous CIA-backed coups and Soviet-backed revolutions in Latin America, Africa, and
Asia demonstrated the global scope of this superpower rivalry.5

4
Lippmann, Walter. "The Cold War." Foreign Affairs, vol. 65, no. 4, Spring 1987, pp. 869-884. Council on
Foreign Relations, JSTOR, doi:10.2307/20043099.

5
Paterson, Thomas G. "The Origins of the Cold War." OAH Magazine of History, vol. 2, no. 1, Summer 1986,
pp. 5-9, 18. Oxford University Press, JSTOR.

4. Schaefer, Sagi. "Hidden Behind the Wall: West German State Building and the Emergence of the Iron
Curtain." Central European History, vol. 44, no. 3, Sept. 2011, pp. 506-535. Cambridge University Press,
JSTOR.

5. Here is the MLA citation for your source:

Komska, Yuliya. "Theatre at the Iron Curtain." German Studies Review, vol. 37, no. 1, Feb. 2014, pp. 87-108.
The Johns Hopkins University Press, JSTOR.

6. Graebner, Norman A. "Cold War Origins and the Continuing Debate." The Journal of Conflict Resolution,
vol. 13, no. [issue number], [year], pp. [page range]. Sage Publications.
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3. Major Cold War Confrontations and

Proxy Wars

3.1 The Cuban Missile Crises

The Cuban Missile Crisis in 1962 was one of the most perilous crises of the Cold War and
nearly resulted in nuclear war. Relations with the United States soured after Fidel Castro
allied with the Soviet Union after the Cuban Revolution in 1959.Following American spy
planes' discovery of Soviet nuclear missiles stationed in Cuba in 1962, President John F.
Kennedy ordered a naval blockade off the coast of Cuba, demanding the missiles be
vacated. The 13-day stand-off put the world on the verge of nuclear war. In the end, Nikita
Khrushchev, the Soviet leader agreed to remove the weapons from Cuba in return for the
United States secretly removing American missiles from Turkey and a U.S. promise not to
invade Cuba. The crisis resulted in the U.S.-Russian "Hotline", and the Nuclear Test Ban
Treaty of 1963, signifying a major development in nuclear diplomacy.

3.2 The Soviet Afghan War (1979-1989)

As a result of the lengthy conflict, the Soviet Union was severely damaged. In 1979, the
USSR invaded Afghanistan to support its communist government in battling the Islamic
opposition, Mujahideen. Because of the United States, Pakistan, Saudi Arabia, and China
providing funds and military equipment to the Mujahideen, Afghanistan became a Cold
War battleground. The Soviet Union was faced with brutal guerilla warfare and rebel forces
that were using U.S supplied Stinger missiles to deter the air power of the Soviet Union.
After 10 years of horrible losses and expensive financial support, the USSR withdrew from
Afghanistan in 1989, and the Soviet loss was a decisive blow in the Cold War. In addition,
the war precipitated the fall of the Soviet Union in 1991 and created anarchy and instability
in Afghanistan which helped lead to the arrival of the Taliban in the 1990s.

3.3 The Berlin Blockade (1948-1949)

The Soviet Union's Otto PURIMS attempt to drive the Western Allies out of West Berlin by
completely cutting land and rail routes into West Berlin was the first major crisis of the
Cold War. The US and UK responded by beginning the massive Berlin Airlift, which took
months of flying every day of the week, transporting vital consumables into the city. Over
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277,000 flights delivered food, fuel and medicine into Berli6n and broke the blockade. In
May 1949, the USSR lifted the blockade because it realized the tactic had not worked. This
event also solidified Germany's split and expanded cold war tensions that led to the
formation of NATO in 1949 to assist in preventing Soviet aggression. The USSR response
was to establish the Warsaw Pact in 1955 to formalize the European division between
opposing blocks.3.4 The Space Race (1957-1975).

3.4 Space Race

The space race represented an important signifier of meaning and tech dominance during
the Cold War. The disparity started in 1957 when the USSR launched the world’s first
artificial satellite, Sputnik 1, startling the United States and presenting a trajectory for the
U.S.S.R. to become a frontrunner in technological superiority. The tension heig7htened
when in 1961, Soviet Cosmonaut Yuri Gagarin became the first human to venturing into
space. The U.S. made a considerable monetary investment in hopes of regaining its
advantage and fulfilling the promise of tech superiority. 8This all resulted in Neil Armstrong
being the first person to walk on the moon in the historically consequential Apollo 11
mission in 1969. Whereas the space race generated direct competition for
communications, military, and technology developments. In 1975 when the Cold War had
appeared to de-escalate, the Apollo-Soyuz Test Project was a first and an important step in
U.S.-Soviet cooperative engagement joint project to dominate ideologically and to send
instruments into space.9

6
Yeisley, Mark O. "Bipolarity, Proxy Wars, and the Rise of China." Strategic Studies Quarterly, vol. 5, no. 4,
Winter 2011, pp. 75-91. Air University Press, JSTOR.

7
. "The Berlin and Cuban Missile Crises." The Origins of Major War, Cornell University Press, 2000, pp. 176-
208. JSTOR.

8
Yeisley, Mark O. "Bipolarity, Proxy Wars, and the Rise of China." Strategic Studies Quarterly, vol. 5, no. 4,
Winter 2011, pp. 75-91. Air University Press, JSTOR.

9. Holloway, David. "The Soviet Union and the Arms Race." Daedalus, vol. 109, no. 4, Fall 1980, pp. 153-176.
The MIT Press

10 Reuveni, Rafael, and Aseem Prakash. "The Afghanistan War and the Breakdown of the Soviet Union."
Review of International Studies, vol. 25, no. 4, Oct. 1999, pp. 693-708. Cambridge University Press, JSTOR.

11 Swauger, James L. "The Space Race." Science, new series, vol. 132, no. 3424, 12 Aug. 1960, p. 380.
American Association for the Advancement of Science, JSTOR.
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4. THE END OF COLD WAR AND IT’S

IMMEDIATE AFTERMATH
The period after cold war witnessed profound transformations in terms of ideology politics
and economy. Moreover, many independent states emerged out of Soviet Union. The
aftermath of cold war has been discussed below:

4.1 Fall of Berlin Wall

The berlin wall was constructed in the year 1961 symbolising the ideological divisions of
cold war. After World War II Germany had been divided between the Allies: the United
States, the United Kingdom, France, and the Soviet Union. By 1949, two separate German
states emerged — the Federal Republic of Germany (FRG, West Germany) and the German
Democratic Republic (GDR, East Germany), each reflecting the political leanings of its
controllers. The division of berlin was decided in Yalta conference. As West Germany
developed into a democracy with a market economy, East Germany remained under a
stringent Soviet model, marked by restrictions on freedom and an iron-fisted government.
The Wall was meant to stop East Germans from fleeing to the more prosperous West. Four
metres (13 feet) tall, 156 kilometres long, and with a ‘death strip’ — a mined corridor of land
armed with guard towers, barbed wire, and lethal traps — it was one of the Cold War’s most
potent symbols, a barrier that physically and emotionally divided friends and families. In
the GDR, access to consumer goods was limited, and the government tightly controlled
border movement. Black markets flourished, and smuggling between East and West
became rampant, with East Germans constantly comparing their shortages to the West’s
easy access to coffee on the global market. The cultural landscape was equally stifling,
creative work was censored and everything had to align with the party’s vision. This control
over personal and professional expression was a core part of the regime’s effort to
suppress free thought and dissent.10 On the evening of November 9, 1989, after weeks of
public pressure and mass demonstrations, East German authorities announced new travel
policies. When a government spokesperson, Günter Schabowski, hastily said that the
changes were “effective immediately,” it triggered an exodus to the border. Bewildered
guards, facing the relentless crowd, opened the checkpoints. In the ensuing hours,
Berliners flooded across the barrier that had, until moments before, seemed
insurmountable. The scenes that followed were filled with emotion and disbelief as
families reunited, people climbed over the Wall, and sledgehammers chipped away at the

12 TZVETAN, and JOHN ANZALONE. “The Fall of the Berlin Wall in History.” Salmagundi, no. 164/165, 2009,
pp. 44–50. JSTOR, http://www.jstor.org/stable/40550141.
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concrete barrier. The collapse of wall first led to freedom of circulation between the two
halves of Berlin, and then, a few months later, the reunification. The fall of the wall also
meaning meaningful because it was the first irreversible sign of the collapse of communist
regime.

4.2 Dissolution of Soviet Union

Soviet leader’s policies

Gorbachev’s reforms inadvertently allowed nationalist sentiments to flourish in various

Soviet republics. This was particularly evident in regions like the Baltic states (Estonia,
Latvia, Lithuania), Georgia, and western Ukraine. These areas had long histories of
resistance to Moscow’s rule but lacked opportunities to express their aspirations for
independence before perestroika.11 The dramatic changes in Eastern Europe during such
as the fall of Communist regimes and increased autonomy for countries like Poland and
Hungary further strengthened nationalist movements within the USSR. More than western
pressure Gorbachev had major role to play in disintegration since he didn’t supress protest
was against violence though his party members supported martial laws and military
crackdowns. Further in 1991 December referendum done in Ukraine voters rejected union
and opted for independence instead. Moreover, Stalin’s annexation of territories like the
Baltic states and western Ukraine sowed seeds of resentment that persisted into the late
20th century. These regions became hotbeds of nationalist mobilization during perestroika.
Yeltsin was elected as president of USSR in June 1991, though he supported democracy,
but his leadership style was more authoritarian than Gorbachev. This alienated many
republics that might have otherwise considered remaining part of a restructured union
under Yeltsin’s leadership.12

Soviet Nationalism

USSR managed ethnic identity through a structured federal system. Lenin’s korenizatsiya
(indigenization) policy promoted local languages and cultures while reinforcing Soviet
ideology. This policy initially strengthened national identities but later created deep-seated
ethnic consciousness. The Soviet Union officially promoted internationalism but
simultaneously fostered distinct national identities. National republics were given
autonomy in theory but remained under centralized control in practice. While Soviet
leadership suppressed nationalist movements, the existence of national republics

Brown, Archie. “The End of the Soviet Union.” Journal of Cold War Studies, vol. 17, no. 4, 2015, pp. 158–65.
JSTOR, https://www.jstor.org/stable/26925548.
13 Tuminez, Astrid S. “Nationalism, Ethnic Pressures, and the Breakup of the Soviet Union.” Journal of Cold
War Studies, vol. 5, no. 4, 2003, pp. 81–136. JSTOR, https://www.jstor.org/stable/26925339.
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provided a framework for eventual secession.13 Though Soviet Union granted recognition to
ethnic groups but in practice it institutionalized nationalism which later laid to its
fragmentation.

Economic disparities

Economic mismanagement, stagnation, and corruption in the Soviet planned economy

created resentment among various republics. The wealthier Baltic states (Estonia, Latvia,
Lithuania) saw the USSR as a burden and pushed for independence. These regions felt they
were subsidizing poorer republics and sought greater economic independence. The Soviet
economy was heavily centralized based on the principles of state ownership and planned
production. The government controlled nearly all aspects of economic activity, from
industrial production to agricultural output. The Soviet economic model discouraged
competition, leading to low productivity and innovation. Factories often met production
targets by manipulating data or producing low-quality goods just to meet quotas. Basic
goods such as food, clothing, and household items were often in short supply. Long
queues for essential products became common, fuelling public frustration. The Cold War
arms race placed a massive financial burden on the Soviet economy. A significant portion
of GDP was allocated to defines, diverting resources from economic development and
consumer needs.

August coup

Pri greater autonomy to the republics while maintaining a federal union. A group of hardline
communists, later known as the "Gang of Eight," launched the coup on August 18, 1991.
Their primary goal was to prevent the signing of the New Union Treaty scheduled for August
20, which would have decentralized power further and effectively ended the Soviet Union in
its traditional form. The coup leaders’ places Gorbachev under house arrest and declared
emergency imposed martial laws and declared emergency. But this was opposed by Boris
Yeltsin who was supported by civilians and many soldiers who came out to protest hence
the coup collapsed and this ultimately led to loss of control over republics.

The December 1991 meeting between Yeltsin (Russia), Kravchuk (Ukraine), and Stanislav
Shushkevich (Belarus) in Belarus formally marked the end of the USSR. This meeting
produced the Beliveau Accords, which declared that “the USSR has ceased to exist.”

Marples, David R. “Revisiting the Collapse of the USSR.” Canadian Slavonic Papers / Revue Canadienne
13

Des Slavistes, vol. 53, no. 2/4, 2011, pp. 461–73. JSTOR, http://www.jstor.org/stable/41708351
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4.3 Russia’s transition to market economy in 1990s

The collapse of Soviet Union marked the beginning of transition from centrally planned
economy to market oriented economy. However, the transition wasn’t smooth Economic
liberalization, privatization, and structural reforms led to widespread economic and social
instability.

Privatization

One of the most significant reforms in Russia’s transition was privatization. The government
aimed to transfer state-owned enterprises (SOEs) into private hands to create a
competitive, market-driven economy. However, due to corruption a small group of elites—
later known as oligarchs—gained control over key industries, leading to immense wealth
concentration. Market liberalization, implemented under the shock therapy approach,
involved rapid removal of price controls, subsidies, and trade restrictions. While intended
to stimulate competition, it led to hyperinflation, unemployment, economic decline and
pushing millions to poverty.

Inflation

One of the severe consequences of liberalization was inflation. In the early 1990s, inflation
rates soared to over 2,000%, eroding savings and causing widespread economic distress.
The financial sector was weak, with poorly regulated banks. The crisis forced Russia to
implement tighter fiscal policies and seek assistance from international institutions like
the International Monetary Fund (IMF). Over time, economic stabilization measures helped
rein in inflation and restore growth.

The Role of the Energy Sector

Russia’s vast natural resources, particularly oil and gas, played a crucial role in economic
recovery. The energy sector became the backbone of Russia’s economy, generating
substantial government revenue and attracting foreign investment. Rising global oil prices
in the 2000s further strengthened the economy, allowing for economic stabilization and
growth. Ultimately, the end of the Cold War reshaped global dynamics, leaving a lasting
impact on Russia’s economy, governance, and its position in international affairs.
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5. The Cold War’s Influence on

Contemporary Geopolitics

Expansion of NATO and Russia Ukraine war

The expansion of the North Atlantic Treaty Organization (NATO) has been a critical issue in
U.S.-Russia relations since the end of the Cold War. NATO was initially established in 1949
as a collective defence alliance against the Soviet Union, its continued enlargement in the
post-Cold War era has been viewed by Russia as a direct threat to its security.14 NATO was
founded by US and its western allies to counter Soviet Union. The core principle of NATO is
an attack on one member is considered attack on all of them (Article 5 f NATO treaty).
During cold war Russia had also made its alliances through Warsaw pact and hence both
represented opposing military blocs. Following the collapse of Soviet Union NATO began
expanding incorporating former Warsaw pact countries and also former soviet republics.
The first major expansion occurred in 1999 when Poland, Hungary, and the Czech Republic
joined and later in 2004 joining of Baltic nations.15 Russia found this as violation of
assurance which were given by west during the time of German reunification that NATO
would not move "one inch eastward16"

In 2008 NATO summit it was openly declared that Georgia and Ukraine would eventually
become members which infuriated Russia. The same year, the Russia-Georgia War
erupted, which was widely interpreted as Moscow’s warning against NATO expansion into
its traditional sphere of influence.17 In 2014 Russia annexed Ukraine’s Crimea which further
worsened US- Russia relations. The ongoing war in Ukraine, which began in 2022 with
Russia’s full-scale invasion, has reinforced the centrality of NATO in European security.
While Ukraine is not a NATO member, the alliance has provided military and economic

14
Bin Mohd, Sheikh Abbas. "Globalisation and the Changing Concept of NATO: Role of NATO
in Russia-Ukraine Crisis." International Journal of Law Management & Humanities, 5,
2022, pp. 683-[lv]. HeinOnline.
15
Davis, Gordon B. “Skip.” “LESSONS FROM THE RUSSIA-UKRAINE WAR FOR NATO C4ISR AND FUTURE
NEEDS.” THE FUTURE OF NATO C4ISR: Assessment and Recommendations After Madrid, Atlantic Council,
2023, pp. 5–13. JSTOR, http://www.jstor.org/stable/resrep48478.7.
16
Shah, Devanshi. "War with Russia? From Putin and Ukraine to Trump and Russia Gate."
Liberal Studies, vol. 3, no. 2, July-December 2018, pp. 271-276. HeinOnline.
17
Schuette, Cody. “Russian Disinformation on NATO Expansion and the War in Ukraine.” Journal of Strategic
Security, vol. 16, no. 4, 2023, pp. 34–56. JSTOR, https://www.jstor.org/stable/48751614.
Kober, Stanley. NATO Expansion and the Danger of a Second Cold War. Cato Institute, 1996. JSTOR,
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assistance to Kyiv.18 Russia has justified its invasion partly on the grounds of preventing
further NATO expansion. The conflict has also accelerated Sweden and Finland’s NATO
accession, further straining Moscow’s ties with the West.

Russia China strategic alliance

While the Cold War was characterized by a bipolar struggle between the United States and
the Soviet Union, the modern international order is witnessing the emergence of a
multipolar world where Russia and China are key players. NATO expansion and U.S. foreign
policies have contributed to this realignment, pushing Moscow and Beijing into a closer
strategic partnership. The dynamics of this alliance mirror Cold War tensions, with
economic, military, and diplomatic cooperation between Russia and China countering
Western dominance. 19

NATO is expanding towards east, and Russia feels threatened for its security. Similarly to
counter China’s influence in indo pacific region US has been making alliances like AUKUS,
QUAD etc and hence China feels threatened fro security reasons. Consequently, Russia
and China have found common ground in their opposition to U.S.-led military alliances.

Russia and China have strengthened their ties by cooperating in military, economics and
diplomacy. The two nations have conducted joint military exercises and naval drills in the
Pacific and Arctic regions, demonstrating their growing defence collaboration. China has
also supported Russia diplomatically in the wake of the Ukraine conflict, while Russia has
backed China’s stance on Taiwan.20 After sanctions trade between the two countries has
expanded significantly, particularly in energy, with Russia supplying China with oil and gas
at favourable rates. Russia and China frequently align their positions in international
forums such as the United Nations, often opposing Western-led resolutions and
advocating for a multipolar world order. They have also made regional security
organizations like Shanghai cooperation BRICS to counter NATO.

The current Russia and China alliances somewhat show similar features like cold war

Engle, Eric. "A New Cold War - Cold Peace Russia, Ukraine, and NATO." Saint Louis
18

University Law Journal, vol. 59, no. 1, Fall 2014, pp. 97-174. HeinOnline.

19
Mastanduno, Michael. ‘Partner Politics: Russia, China, and the Challenge of Extending US Hegemony after
the Cold War’. Security Studies, vol. 28, no. 3, Informa UK Limited, May 2019, pp. 479–504,
https://doi.org/10.1080/09636412.2019.1604984.

20
Wenzhao, Tao, and Xu Shengwei. “The US Factor in Post-cold War China–Russia Relations.” International
Politics, Jan. 2020, https://doi.org/10.1057/s41311-020-00211-1.
 Page 19 of 25

• Like proxy wars during cold war current wars like Russia with Ukraine chain with
Taiwan reflect competing spheres of influence.

• today’s geopolitical struggle is framed as a contest between Western liberal

democracy and authoritarian governance models promoted by Russia and China.

• The growing military capabilities of both Russia and China, along with
advancements in artificial intelligence, space exploration, and cyber warfare, parallel the
technological competition seen during the Cold War.

However today many countries in Africa, Latin America, and Asia are balancing their
relations with both Western and non-Western powers. Unlike during the Cold War, where
nations had to choose sides (NATO vs. Warsaw Pact), many developing nations today are
engaging with both the U.S.-led order and the Russia-China bloc. However, today’s global
competition is shaped by economic interdependence and regional complexities. The
challenge for the U.S. and its allies will be managing this new geopolitical reality without
escalating conflicts into open confrontations.
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6. CONCLUSION

The Cold War was one of the most significant geopolitical conflicts of the 20th century,
shaping global politics, military strategies, and international relations. Rooted in the
ideological rivalry between communism and capitalism, this prolonged struggle between
the United States and the Soviet Union extended beyond direct military confrontations and
influenced political alliances, economic policies, and technological advancements. Even
after the Cold War officially ended in 1991, its impact continues to shape international
relations, particularly between the United States and Russia. This conclusion examines the
Cold War’s long-term effects, the transformation of global power structures, and the
evolving dynamics between the U.S. and Russia in contemporary geopolitics.

The Legacy of the Cold War and Its Global Impact

The Cold War fundamentally reshaped the world by dividing it into two opposing ideological
and military blocs. The formation of NATO (North Atlantic Treaty Organization) in 1949
and the Warsaw Pact in 1955 institutionalized the divide between the capitalist West and
the communist East. While the Cold War never escalated into direct military conflict
between the superpowers, it led to several proxy wars, including the Korean War (1950-
1953), the Vietnam War (1955-1975), and the Soviet-Afghan War (1979-1989). These
conflicts resulted in significant political, economic, and human costs, affecting multiple
regions worldwide.
Another critical legacy of the Cold War was the nuclear arms race, which brought the
world to the brink of destruction during events like the Cuban Missile Crisis (1962). The
intense competition between the United States and the Soviet Union in nuclear weapons
development led to global fears of mutually assured destruction (MAD). The eventual
Strategic Arms Reduction Treaties (START) in the 1990s aimed to curb this dangerous
escalation, but nuclear deterrence remains a central element of global security today.
The Cold War also influenced economic and technological advancements. The Space
Race, fueled by U.S.-Soviet rivalry, led to groundbreaking achievements such as the Soviet
launch of Sputnik in 1957 and the U.S. landing on the moon in 1969. These scientific
advancements laid the foundation for modern space exploration and satellite technology,
which continue to impact industries such as telecommunications and defense.
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The End of the Cold War and the Shift in Global Power
The Cold War’s conclusion in 1991, marked by the dissolution of the Soviet Union, led to
a dramatic shift in the global balance of power. The collapse of communist regimes in
Eastern Europe, symbolized by the fall of the Berlin Wall in 1989, reflected the decline of
Soviet influence and the rise of democratic movements across the former Eastern Bloc.
Countries that were once under Soviet control, such as Poland, Czechoslovakia, and
Hungary, transitioned to market economies and sought closer ties with the West, many
eventually joining NATO and the European Union.
For the United States, the end of the Cold War cemented its status as the world’s sole
superpower. The 1990s saw U.S. dominance in global economic and political affairs, with
initiatives promoting democracy, free markets, and military interventions in regions such as
the Middle East and the Balkans. However, this unipolar moment was temporary, as new
powers, including China and a resurgent Russia, began challenging Western influence in
the 21st century.
For Russia, the post-Cold War era was a period of economic hardship and internal
instability. The transition to a market economy in the 1990s, led by Russian President Boris
Yeltsin, resulted in widespread corruption, economic crises, and declining living
standards. Many Russians viewed the collapse of the Soviet Union as a national
humiliation, a sentiment that later fueled Vladimir Putin’s rise to power in 2000 and his
efforts to restore Russia’s geopolitical influence.

U.S.-Russia Relations: From Cold War Rivalry to Contemporary Tensions

While the Cold War officially ended, tensions between the United States and Russia never
fully disappeared. The expansion of NATO into Eastern Europe, despite assurances to
Russia that this would not occur, has been a major point of contention. Former Soviet
republics such as Estonia, Latvia, Lithuania, and Poland joined NATO, further straining
relations between Moscow and Washington.
One of the most significant conflicts in post-Cold War U.S.-Russia relations has been the
Ukraine crisis. In 2014, Russia annexed Crimea, a move widely condemned by the U.S.
and its allies, leading to sanctions against Russia. The situation escalated further with
Russia’s full-scale invasion of Ukraine in 2022, which reignited Cold War-era rhetoric and
prompted increased Western military support for Ukraine. This conflict has reinforced the
perception of a renewed power struggle between Russia and the West, reminiscent of
Cold War dynamics.
At the same time, Russia-China relations have strengthened, forming a strategic alliance
that echoes Cold War-era bloc politics. Both nations have sought to counterbalance U.S.
influence, particularly through economic and military cooperation. Organizations like
 Page 22 of 25

BRICS (Brazil, Russia, India, China, and South Africa) have emerged as potential
alternatives to Western-dominated institutions such as the G20 and the International
Monetary Fund (IMF). This shift in alliances suggests a multipolar world order, where
power is more evenly distributed rather than dominated by a single superpower.

The Cold War was a defining conflict of the modern era, influencing global politics, military
strategies, and economic policies for nearly five decades. While it never escalated into
direct warfare between the United States and the Soviet Union, it led to numerous proxy
wars, an intense arms race, and the division of the world into opposing ideological blocs.
Its conclusion in 1991 marked a new chapter in world history, but the power struggles it
initiated continue to shape international relations today.
U.S.-Russia relations, though no longer defined by open hostility, remain deeply strained
due to issues such as NATO expansion, military conflicts, and competing global interests.
At the same time, the rise of China and the re-emergence of Russia as a geopolitical
challenger indicate that Cold War-era power dynamics are evolving rather than
disappearing.
In the 21st century, the world faces new challenges—economic crises, climate change,
cyber warfare, and shifting alliances—all of which have been influenced by Cold War
legacies. Understanding this historical period is essential for analysing present-day
international relations and preparing for future global conflicts. As history has shown, the
balance of power is never static, and the lessons of the Cold War continue to provide
valuable insights into the complexities of global diplomacy and security.
 Page 23 of 25

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