Dealing with Libya

Archive Report

Qaddafi's Power Base

Consequences of Shrinking Oil Money

American efforts to restrain Libyan terrorist activities have so far shown little success. The diplomatic offensive to win European support for economic sanctions was unsuccessful. Lines of policy are confused. Secretary of State George P. Shultz advocates military retaliation when necessary. Defense Secretary Caspar W. Weinberger urges a more cautious approach, and Vice President George Bush admits “there isn't any simple answer” on an appropriate response to terrorism.1 What President Reagan has been unable to achieve in Libya through sanctions and threats, however, may now be accomplished by the collapse of world oil prices.

The prospect invites tentative optimism in Washington. The State Department's chief of counter terrorism, Robert B. Oakley, told a Senate subcommittee recently that Libya might ...

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