Moldova was incorporated into the Soviet Union June 1940, and regained its independence on August 27, 1991. Shortly thereafter, Moldova faced challenges from Turkic-speaking Gagauz and ethnic Russians, both residing in Moldova's Dniestr valley, who proclaimed separatist "republics." Other challenges facing Moldovans include pursuing economic reform and choosing between potential reunification with their ethnic cohorts in Romania and forging an independent identity.

According to the most recent National Threat Assessment, the global financial crisis and its geopolitical implications pose the primary near-term security concern of the United States. Over the short run, both the EU and the United States are attempting to resolve the financial crisis while stimulating domestic demand to stem the economic downturn. These efforts have born little progress so far as the economic recession and the financial crisis have become reinforcing events, causing EU governments to forge policy responses to both crises. This report discusses this situation in detail and also discusses individual efforts by both the U.S. and EU to combat the effects of the crisis.