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Obama has gradually reduced the military presence in the Middle East. By bringing U.S. troops home from Muslim lands, Obama aims at deactivating the minefields that almost brought ruin to America's relations with the region.

Treading lightly, he doesn't want the U.S. entangled with the Middle East's raging conflicts. He and his foreign policy team admit that the United States overextended itself, suffering a colossal loss of moral authority and opportunity costs, costs that would have been better spent elsewhere. From the beginning, the Obama administration has shifted U.S. foreign policy priorities to the Pacific region where America's future lies, according to the president and senior aides.

In Libya and Syria, Obama exercised self-control, aware of the limits of U.S. power in the area. Instead of taking the lead in the military confrontation against Muammar Gaddafi, Obama insisted that European powers and the Arab League lead the Libyan operation. Despite vocal criticism by Republican detractors, Obama scored political victory in Libya with restraint and a low profile.

Similarly in Syria, Obama has pushed back against military intervention, though the administration has become more involved in supplying financial, logistical and intelligence support to the rebels. U.S. officials fear that providing arms to the rebels might fall into Salafi hands.

In contrast to his ideologically driven predecessor, Obama is not a liberal interventionist; he's less inclined to use force to advance "causes." With Republican critics in mind, on Memorial Day Obama promised to send U.S. soldiers to war only when "absolutely necessary."

While Obama wages a fierce counterterrorism campaign against Al Qaeda and likeminded groups worldwide, he has drawn down the forces in Iraq and Afghanistan. Far from appeasing Iran, the Obama administration, together with its European allies, is waging all-out economic war against the Tehran government through punishing sanctions against oil and banking sectors, including the central bank. Obama expects that these sanctions, given time, can curb Iran's nuclear program. Obama has so far resisted Israel's key demand that military action be taken before Iran acquires the ability to manufacture a bomb.

Although a gamble, Obama's muscular approach to the Iran has exacted a heavy toll on the Iranian economy. To call Obama's position towards Iran and his policies in the greater Middle East "appeasement" is patently false. His opponent is either posturing for political advantage or engaging in policies that would border on reckless endangerment.

The lid is off the Arab authoritarian order, four dictators have fallen, awakening new political groups and opposing forces throughout the region. If history is a guide, it may take a decade or so for the dust to settle on unfolding political struggles in the Arab arena.

In the meantime, political turmoil and contestation will be a recurrent feature in Arab regional politics. The challenge facing U.S. foreign policy - not confusing the Arab Spring with small radical factions such as the Salafis, who desperately try to spread their influence. Although aggressively attempting to gain control of popular anger and frustration, the Salafis are a small element. It would be a mistake to lump them together with the majority of peaceful protestors.

With American troops soon out of Afghanistan, the Obama administration is well positioned to play a key role in assisting Arab countries to transition to democracy. Washington should keep its cool, a sense of balance and perspective, with no knee-jerk reactions, as the Arab masses freed from years of oppressive control find their voice. Maintaining economic and political cooperation with appreciation of the sensitivities of new nationalism and identity politics is key to transforming U.S.-Arab relations from suspicion and hostility to cooperation. Since his inauguration, Obama has had to clean up the damage caused by the Bush administration's failed policies. It's not surprising that his failures have been more apparent than his successes in damage control.

But the test of this president is whether or not he can realign U.S. foreign policy with progressive and democratic voices in the region, making a structural investment in improving people's lives.