US uses its economic power to teach North Korea a lesson

It would be naive to expect the mercurial — some would say madcap — dictator of North Korea to become a paragon of virtue in light of the new economic sanctions imposed against his rogue nation by the Obama administration. But, the flexing of American economic muscle will show President Kim Jong Un that there’s a price to pay for terrorism — in whatever form.

President Barack Obama announced the sanctions on government officials, North Korea’s defense industry and intelligence service in retaliation for a cyberattack against Sony Pictures Entertainment.

The North Koreans have denied any role in the attack that led to the disclosure of tens of thousands of confidential emails and business files. It was followed up with threats of terrorist attacks against movie theaters that showed the Sony comedy “The Interview.” The film depicts the fictional assassination of President Kim. Sony initially called off the movie’s release after theaters decided not to air it.

However, after President Obama reminded us that America does not succumb to terror threats, Sony decided to release “The Interview” in limited theaters and online.

The president also made it clear that North Korea, which was implicated by the FBI of being behind the Sony cyberattack, would continue to feel the wrath of the United States.

The economic sanctions are aimed at North Koreans representing the country’s interests in Iran, Russia and Syria. Any assets they have in the U.S. will be frozen, and the individuals will be barred from using the U.S. financial system. Americans will be prohibited from doing business with them.

Targeting members of the oligarchy is a winning strategy, because although they have pledged allegiance to Kim, their own financial self- interest will ultimately trump ideology.

As has been shown in Russia, where members of President Valdimir Putin’s inner circle were hit by U.S.-led sanctions after the invasion and occupation of parts of Ukraine, the loss of personal wealth makes for disgruntled nationalists.

The Russian uber-wealthy and businessmen who are finding it impossible to do business in the industrialized world have been pressuring Putin to abandon his expansionist goals. The president is determined to re-create the Soviet Union.

Turning the screws

Aware of the pain being inflicted, the U.S. and its allies in Europe have been turning the screws on Russia. The result has been a major economic dislocation, made worse with the falling oil prices globally.

The Russian ruble has been dropping in value so quickly that there was a possibility recently of its total collapse. Although the situation has since stabilized, the economy remains on life support.

Using Russia as a template, the Obama administration’s action against North Korea will not end any time soon. This is a chance to foment unrest within the country, not only with the populace that’s been scraping for generations to earn a living, but within the ruling class that has its ill-gotten gains socked away in foreign bank accounts.

“The [sanctions] order is not targeted at the people of North Korea, but rather is aimed at the government of North Korea and its activities that threaten the United States and others,” President Obama wrote in a letter to House and Senate leaders.

No, the sanctions won’t bring a change in government, but they will make life more difficult in that impoverished land and, perhaps, trigger a popular uprising.