The Strategic Studies Institute of the U.S. Army War College publishes national security and strategic research and analysis which serves to influence policy debate and bridge the gap between Military and Academia.
Saudi Arabia and Iran have often behaved as serious rivals for influence in the Middle East and especially the Gulf area since at least Iran’s 1979 Islamic Revolution. While both nations define themselves as Islamic, the differences between their foreign policies could hardly be more dramatic. Recently, the rivalry between Riyadh and Tehran has intensified and been reflected in their policies involving a number of regional states including Iraq, Lebanon, Syria, Egypt, Yemen, Bahrain, and others.
Rising oil prices facilitate the acquisition of greater resources and perhaps economic development. But oil revenues can also drive a government to finance massive military equipment purchases like Saudi Arabia did in 1979. The nature of governments that rely on raw material extraction and long-term development of military programs may affect how their current
and future spending occurs regardless of oil prices. How nations decide to use their national wealth helps explain some of the perennial problems facing oil and commodity exporting nations and provides insights into their relations with other countries.
In his 2006 State of the Union address, President Bush proclaimed that "America is addicted to oil, which is often imported from unstable parts of the world." The plan he then proposed is step one in weaning America from its addiction, and is a necessary but not fully sufficient step to ensuring our future national security through Middle East Oil independence.
What should the United States do about Saudi Arabia? What is the best course for strategic cooperation with Saudi Arabia in light of Islamic extremism in the Kingdom, and calls for political and religious reform?