For you history buffs—-which was the first country to get out of the Great Depression?  Do not hurt yourself…it was Germany.  And why?  Because they started a massive program of military spending to rearm after the defeat of WWI.

Where am I going with this?  All countries are feeling the problems of the economic crisis and some handle it in different ways.

Russian President Dmitry Medvedev announced today that his nation would begin a “large-scale” rearmament campaign for both its army and navy starting in 2011 in response to persisting threats to the nation’s security.

Pointing to NATO’s continued expansion and the increasing amount of military forces massing along Russia’s western borders. Medvedev warned of “a serious conflict potential” that “requires the quality modernization of our Armed Forces and acquisition of a new advanced appearance by them.”

Sounds a bit like the rationale used by Germany to start their massive rearming program in the 30’s.

For about three years I have been saying that would be a “new” Cold War and stories like this one just adds to the validity of my prediction.