Smiof,
The idea is you want to appear strong to the public. The masses love it when they see their country as strong. Appearing aggressive while really you are mutually making concessions has happened before many times.
Redrooster,
I disagree personally. I see morality as an end being an obstacle to your larger strategic goals, though they can be used as a means or when they are uncostly. My political ideas fall in the schema of political realism, thanks for asking
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DPS,
It would have been helpful for you to read my explanations. I mentioned the strategic incompetence of Bush's decision to go in to Iraq because it entangled our forces there, disrupted the global balance of power and subsequently created political tension, and is very expensive. Of course the US can't do anything in SA now, but we can if certain conditions are satisfied. We need to pursue a policy of detente - easing political tensions - with Russia and China. At the moment, they are in our backyard because we are in their backyard and trying to monopolize the resources of a resource rich zone. By easing tensions and redistributing political power back in to balance, this proxy war we started can stop and we can knock the South Americans back in to submission to our empire.
In our negotiations with China and Russia, we also need to show our resolve and firm stance but our willingness to make reasonable accommodations. A war plus our accommodations would be seen as expensive, though if we didn't make them they would be risky as you say.