Russia may be economically dysfunctional, but that will not keep it from flexing its muscles.

Russia’s plan to recover its lost dominance

by George Friedman

For Russia, the recreation of a union is a strategic necessity. As Putin put it, the fall of the Soviet Union was a geopolitical catastrophe. Russia needs the economic integration, particularly given the new economic strategy of post-Soviet Russia, which is the export of raw materials, particularly energy. Aligning with states such as Kazakhstan in energy and Ukraine in grain provides Moscow with leverage in the rest of the world, particularly in Europe. As important, it provides strategic depth. The rest of the world knows that an invasion of Russia is inconceivable. The Russians can conceive of it. They remember that Germany in 1932 was crippled. By 1938 it was overwhelmingly powerful. Six years is not very long, and while such an evolution is unlikely now, from the Russian point of view, it must be taken seriously in the long run -- planning for the worst and hoping for the best.

http://www.mercatornet.com/articles/view/russias_plan_to_recover_its_lost_dominance